Alphabet-owned, Google Payment is the latest of fintech companies to be granted an e-money license in Lithuania, enabling Google to offer financial services across the European Union.
“We are constantly working to support our customers in Europe. We have applied for a Payment License in Lithuania as part of these efforts, in addition to ongoing discussions relating to projects all around Europe,” said a Google spokesman in an emailed statement to Bloomberg.
Bloomberg reports that with this development, Google has clearance to process payments, issue e-money, and handle electronic money wallets throughout the EU.
Customers using the Google Pay app can store card details in a digital wallet for use in online and in-app purchases as well as payments in brick-and-mortar stores. As the name implies, he e-money license is restricted to the electronic storing and transferring of customer funds. Full banking services, such as deposit accounts, loans or mortgages, do not fall under this category, as Bloomberg explains.
The Lithuanian central bank has been rapidly issuing e-money licenses, raising its profile as a licensing jurisdiction in the EU, second in the EU to the U.K.
“The end of this year reflects our efforts and experience of the past few years in actively developing a fintech-conducive ecosystem in Lithuania.”
“The end of this year reflects our efforts and experience of the past few years in actively developing a fintech-conducive ecosystem in Lithuania,” said Marius Jurgilas, a board member at the Lithuanian central bank, per Bloomberg.
Google is catching up both to large technology companies, such as Facebook and Amazon, which already have European e-money licenses as well as a growing pool of smaller fintech competitors expanding their base in that region.