LemFi announced that it has been officially registered as a Payment Service Provider by the Bank of Canada under the country’s Retail Payment Activities Act (RPAA), bringing the company within Canada’s new federal supervisory framework for payment providers.
The registration strengthens regulatory oversight of the company’s operations in Canada and reinforces LemFi’s strategy of expanding its financial services platform for immigrants and global citizens. LemFi already serves customers in Canada, and the new designation formally places its activities under the country’s enhanced payments regulatory regime overseen by the Bank of Canada.
Canada has emerged as one of the fastest-growing outbound remittance markets globally. According to the Migration Policy Institute, outbound remittances from Canada reached approximately $8.6 billion in 2023, increasing from $7.5 billion in 2020. Major recipient countries include India, China and the Philippines, which are key remittance corridors supported by LemFi’s existing infrastructure.
Under the RPAA, payment service providers must comply with strict operational, risk management and safeguarding standards. LemFi met these requirements through its Canadian entity, Pomelo Technology Canada Ltd, demonstrating compliance with the enhanced federal rules designed to improve resilience, accountability and consumer protection in the payments ecosystem.
The company said the registration represents a step forward in its effort to build a broader financial ecosystem for immigrants that extends beyond remittances. While many providers focus primarily on cross-border money transfers, LemFi has been expanding its platform to include credit and savings products alongside payments.
The registration also adds to LemFi’s growing regulatory presence across multiple jurisdictions, including the United Kingdom, Ireland, Australia and several U.S. states. The company currently serves more than two million customers worldwide and enables transfers to more than 30 countries across Africa, Asia, Europe and Latin America.
Over the past year, LemFi has broadened its product suite by launching Send Now Pay Later (SNPL) in the United Kingdom, introducing Instant Access Savings Accounts and strengthening its credit infrastructure following the acquisition of UK fintech Pillar.
Founded in 2021, LemFi has raised more than $85 million in funding and employs over 300 people across Africa, Europe and North America. The company also reported 65% year-on-year revenue growth as it continues scaling its AI-enabled financial services platform for global users.
KEY QUOTES
“Canada is one of the world’s most important remittance markets, driven by a diverse and growing immigrant population. Being registered as a Payment Service Provider under the RPAA reflects our commitment to building a platform that is not only innovative but deeply aligned with the highest regulatory and operational standards. For our customers, this is about trust. It means they can move money across borders knowing their funds are handled securely within a robust supervisory framework, while still benefiting from the speed, affordability and simplicity that define the LemFi experience.”
Rian Cochran, Co-Founder And CFO Of LemFi
