Paytm To Re-Apply for Payment Aggregator License

Paytm is gearing up to re-submit its application for a payment aggregator (PA) license to the Reserve Bank of India (RBI). The company’s CEO, Vijay Shekhar Sharma, made this announcement during Thursday’s Annual General Meeting.

The company’s renewed interest in the PA license comes after it secured government approval to invest in its payment services business. This clearance paves the way for Paytm to re-apply for the license, which was previously denied in November 2022. The RBI had rejected Paytm’s initial application due to non-compliance with Press Note 3, which requires prior government approval for investments from countries sharing land borders with India.

Paytm’s pursuit of a PA license has been a significant focus for the company, especially in the wake of the RBI’s decision to wind down its payments bank earlier this year. The PA license would allow Paytm to expand its payment services offerings and potentially regain some of the market share lost due to the closure of its payments bank.

As Paytm prepares to re-submit its PA license application, it will be closely watched by investors and industry observers alike. The outcome of this application could have a significant impact on the company’s future growth and its position in the competitive Indian digital payments market.

About One 97 Communications Ltd

Incorporated in 2000, One 97 Communications is India’s leading digital ecosystem for consumers as well as merchants. The company operates the Paytm Brand. As of March 31, 2021, the company has a 333 million+ client base and 21 million+ registered merchants.

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