Paytm, a distinguished fintech firm, has secured approval from the finance ministry to spend money on its cost companies enterprise, the corporate introduced on Wednesday.
The corporate, formally referred to as One 97 Communications, has been underneath the watchful eye of banking regulator and monetary crime-fighting company following the central financial institution’s directive in January to close down its funds financial institution.
With the current approval, Paytm plans to submit a brand new utility to the ministry to regain the license for its funds companies enterprise. The corporate stated that Paytm Fee Companies will proceed to supply on-line cost aggregation companies to present companions.
Though Paytm didn’t disclose the specifics of the accredited funding, Reuters reported in July, primarily based on info from a senior finance ministry official, that the corporate had obtained approval for a 500 million rupee (roughly $6 million) funding in its funds division.
Paytm Fee Companies, a major factor of the fintech agency’s operations, contributed 1 / 4 of its consolidated income within the fiscal 12 months that resulted in March 2023.
In July, Vivek Joshi, monetary companies secretary, stated that the corporate may method India’s central financial institution to use for a cost aggregator license, which the financial institution would then assess.
On the day of the announcement, Paytm’s shares closed 1.3% decrease. For the reason that central financial institution’s order to wind down the cost financial institution in January, the corporate’s shares have declined by greater than 29%.
The corporate, formally referred to as One 97 Communications, has been underneath the watchful eye of banking regulator and monetary crime-fighting company following the central financial institution’s directive in January to close down its funds financial institution.
With the current approval, Paytm plans to submit a brand new utility to the ministry to regain the license for its funds companies enterprise. The corporate stated that Paytm Fee Companies will proceed to supply on-line cost aggregation companies to present companions.
Though Paytm didn’t disclose the specifics of the accredited funding, Reuters reported in July, primarily based on info from a senior finance ministry official, that the corporate had obtained approval for a 500 million rupee (roughly $6 million) funding in its funds division.
Paytm Fee Companies, a major factor of the fintech agency’s operations, contributed 1 / 4 of its consolidated income within the fiscal 12 months that resulted in March 2023.
In July, Vivek Joshi, monetary companies secretary, stated that the corporate may method India’s central financial institution to use for a cost aggregator license, which the financial institution would then assess.
On the day of the announcement, Paytm’s shares closed 1.3% decrease. For the reason that central financial institution’s order to wind down the cost financial institution in January, the corporate’s shares have declined by greater than 29%.
