New Delhi: The Reserve Bank of India (RBI) on Wednesday imposed restrictions on Mastercard Asia / Pacific Pte. Ltd. (Mastercard) from on-boarding new domestic customers (debit, credit or prepaid) onto its card network from July 22.
"Notwithstanding lapse of considerable time and adequate opportunities being given, the entity has been found to be non-compliant with the directions on Storage of Payment System Data," read a government statement.
RBI said the order will not impact existing customers of Mastercard. Mastercard shall advise all card issuing banks and non-banks to conform to these directions.
"The supervisory action has been taken in exercise of powers vested in RBI under Section 17 of the Payment and Settlement Systems Act, 2007 (PSS Act)," RBI said.
Mastercard is a Payment System Operator authorised to operate a Card Network in the country under the PSS Act.