Paytm gets 15 days more to apply for an Online Payment Aggregator Permit – the latest news. Digital financial services firm One97 Communications, which operates the Paytm brand, has been granted an extension by the RBI, such that they have 15 days to apply for the online payment aggregator licence for its subsidiary, PPSL. According to a regulatory filing, the Reserve Bank of India (RBI) had rejected its application for a payment aggregator (PA) licence for Paytm Payments Services Limited (PPSL) and requested to resubmit the application, the 120-day period of which was to expire on March 25, 2021.
One97 Communications (OCL), the parent firm of Paytm, in a regulatory filing, has said that on receipt of approval from the Government of India (GoI), PPSL will have a further 15 days to apply for the license. This means that it will be in possession of a valid license, to continue with its online payment aggregation business for existing partners and also begin the onboarding of new merchants.
This news falls in line with Paytm’s ambitious plans to expand its services and to increase the availability of digital payment in India. It has had immense success over the years and with the new license, it could establish a stronger footing in the country. The company, led by Vijay Shekhar Sharma, has become an integral part of the country’s economy and continues to grow. It also provides various other services such as Paytm Money, Paytm Mall and Paytm Payments Bank.
Moreover, the RBI’s communication also has no material impact on the company’s business and revenues, since the regulation only pertains to onboarding of new online merchants. The existing merchants will be able to avail of the service unhindered. This comes as a good news for the users and businesses both, who have already established partnership with Paytm.
This development is likely to have a positive impact with the region’s economy and the growth of the mobile payments industry. Paytm’s services will continue to be an integral part of the country’s digital payment space, leading to seamless transfers and making businesses easier to access.
