Source: PPRO Group
PPRO, a cross-border payment specialist, has officially been granted an e-money licence by the Ministry of Finance in Luxembourg, securing its long term future in Europe The new local entity ‘PPRO SA’ (société anonyme) has been authorised to conduct financial services across the EU under the supervision of the national financial services regulator, the CSSF (Commission de Surveillance du Secteur Financier).
PPRO processes cross-border payments for Payment Service Providers (PSPs) and other merchant aggregators. As a financial institution, a license with permission to operate across the European Union is imperative. Without this licence, PPRO would lose passporting rights (the free movement of services within the European Union) once Brexit has been implemented.
Even before the Brexit referendum, PPRO commenced contingency planning to continue its operations in the EU. Subsequently, PPRO decided to apply for an e-money licence (Electronic Money Institution Licence) in Luxembourg, the same operating licence currently being used in the UK. Luxembourg is a major e-money regulator and is one of the only few triple A-rated countries in the EU. With strong political and economic stability, many UK FinTechs have opted to apply for licences in Luxembourg.
Jack Ehlers, Director for Payment Partnerships at PPRO SA, who has overseen the licensing operation, said “It has been a long three-year process, but we’re delighted to have been granted our e-money licence by the Ministry of Finance in Luxembourg. It was essential we secured this licence to continue operating in Europe, regardless of how Brexit now happens”.
Luxembourg for Finance CEO Nicolas Mackel commented “We are delighted to welcome PPRO to Luxembourg. This demonstrates the appeal of the financial centre as a leading EU payments hub and constitutes a further addition to the local FinTech ecosystem. Luxembourg’s international environment provides FinTechs with a strong base from which to successfully serve their European clients.”