RBI lifts ban on AmEx issuing new cards

RBI  lifts ban on AmEx issuing new cards:

On 24th August 2022, Reserve Bank of India (RBI) lifted business restrictions imposed on American Express Banking Corp after almost 16 months. Amex can now issues cards to new customers in India.

The ban was imposed with effect from May last year due to non-compliance on storage of payment system data.

The RBI had on 23 April, 2021 imposed restrictions on American Express Banking Corp from on-boarding new domestic customers onto its card network from 1 May, 2021 for non-compliance with the central bank's circular dated 6 April, 2018 on Storage of Payment System Data.

Reacting to the RBI's move, Sanjay Khanna, Interim CEO and COO at the American Express said, “We welcome today’s decision by the Reserve Bank of India, which enables American Express Network to onboard new customers effective immediately. India is a key strategic market for American Express and today's decision is the result of our significant local investments in technology, infrastructure, and resources."