London-based fintech LemFi has been registered as a payment service provider by the Bank of Canada under the country’s new Retail Payment Activities Act (RPAA), bringing its Canadian operations under federal oversight.
The company already serves customers in Canada. Registration places LemFi within Ottawa’s new supervisory framework for payment providers, which introduces stricter standards around operational resilience, safeguarding of funds, and risk management.
Canada is one of the world’s fastest-growing outbound remittance markets. According to the Migration Policy Institute, Canadians sent an estimated US$8.6 billion abroad in 2023, up from US$7.5 billion in 2020. India, China, and the Philippines rank among the largest recipient countries — corridors LemFi already supports.
LemFi operates in Canada through its local entity, Pomelo Technology Canada Ltd, which completed the registration process.
The RPAA establishes a national regulatory regime for payment providers, increasing accountability and consumer protections across the sector as digital payments expand.
The approval adds to LemFi’s growing regulatory footprint, which includes licenses and authorizations in the UK, Ireland, Australia, and multiple U.S. states.
Founded to serve immigrant and cross-border communities, LemFi has expanded beyond remittances into credit and savings products. Over the past year, it launched a “Send Now Pay Later” product in the UK, introduced instant-access savings accounts, and expanded its credit capabilities following the acquisition of UK fintech Pillar.
The company says it now serves more than two million customers across 30 countries spanning Africa, Asia, Europe, and Latin America. LemFi raised £53 million in Series B financing and reports 65% year-over-year revenue growth.
“Canada is one of the world’s most important remittance markets, driven by a diverse and growing immigrant population,” said Rian Cochran, co-founder and CFO of LemFi.
“Being registered under the RPAA reflects our commitment to operating within strong regulatory standards while delivering fast and affordable cross-border payments.”
Leave a Reply