IRCTC Share Price Gains After RBI Nod to Subsidiary for Payment Aggregator Role

Market Performance

On August 6, 2025, the IRCTC share price witnessed an upward movement of over 1% during trading hours.

This rise came after the company disclosed a major regulatory update that could significantly shape its digital services arm and drive long-term operational expansion.

Main News: RBI Approves IRCTC Payments as Online Aggregator

Indian Railway Catering and Tourism Corporation  informed exchanges that its wholly owned subsidiary, IRCTC Payments Limited, has received in-principle authorization from the Reserve Bank of India (RBI).

• Approval Type: In-Principle
• Regulatory Body: Reserve Bank of India
• Approval Received On: August 5, 2025 (via email)
• Legal Basis: Payment and Settlement Systems Act, 2007

This regulatory milestone allows IRCTC Payments to act as an online payment aggregator, opening up new digital payment opportunities under India’s regulated fintech framework.

The company had submitted its application in December 2024. Following clarification requests, the RBI has now granted this initial approval. Final authorization is expected after further compliance steps.

Company Details: Strategic Diversification into Fintech

IRCTC Payments Limited was incorporated in February 2024 to strengthen the company’s presence in the digital transaction ecosystem.

Through this subsidiary, IRCTC aims to expand its role in:

• Payment gateway services
• Fintech solution development
• Bharat Bill Payment operations
• Loyalty and coupon card management
• Pre-paid instruments like cash/gift cards

Services Offered by IRCTC i-Pay:

• Internet banking
• UPI
• Debit and credit cards
• Digital wallets
• Autopay mechanisms

These services are expected to enhance IRCTC’s e-ticketing systems and support the growing digital economy.

Financial Performance Snapshot

Internet Ticketing Revenue (Q4FY25)

• Revenue: ₹372.5 crore
• YoY Growth: 8.78%
• Annual Revenue Milestone: ₹1,269 crore

IRCTC i-Pay Performance (FY24)

• Revenue: ₹114.54 crore
• YoY Growth: 19.33%

These figures highlight the company’s steady growth in digital ticketing and payments, supporting its push into fintech services.

Summary of the Article

The IRCTC share price rose by over 1% after the company announced RBI’s in-principle approval for its subsidiary to act as an online payment aggregator.

The development is a significant step in IRCTC’s strategy to diversify beyond its core railway ticketing operations and tap into the fast-growing fintech space.

With robust growth in ticketing and payment revenues, IRCTC appears well-positioned to benefit from the evolving digital payments ecosystem in India.