China Slashes Payment Service Licenses by 20%

China’s central bank reduced the number of licenses to operate third-party payment services by more than 20% this year as regulators step up scrutiny of the booming sector.

The People’s Bank of China this week published a list of 40 payment service providers that won approval to extend business licenses that were set to expire Dec. 21. Six companies failed to secure license renewal. Five others didn’t apply for the extension and will terminate related business gradually, according to the central bank.