Google Pay Licensed to Operate as Payment Institution in Brazil

Google Pay has received a license to operate as a payment institution in Brazil, allowing it to initiate payment transactions.

Payment initiators, according to Brazil's central bank, initiate a transaction ordered by the final user but never manage the payment account, nor hold the funds of the transactions.

A press spokesperson for Google confirmed the central bank's authorisation and said the move offered more payment options to users through their platforms in Brazil.

Google Pay currently operates an app serving as a virtual wallet, which allows the user to include their credit and debit cards, vaccination cards, and concert tickets, for example.

The approval comes days after Brazil's National Monetary Council also authorised fintechs to initiate payment transactions in the country.

(Source: The Paypers)