NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

BANGALORE: Global taxi-hailing company Uber is in talks with firms providing digital wallets and payment gateways in India as it looks to become compliant with local regulations.

The Reserve Bank of India shut a loophole last month by clarifying that online payments taking place between two Indian ’residents’ cannot bypass two-factor authentication. Besides the additional authentication, the central bank also wanted transactions to be carried out in Indian rupees and not dollars.