Paytm Payments Bank MD-CEO Renu Satti said the RBI guidelines released this month will enable mobile wallets to gain access to more functionalities like unlimited transfer of funds between a bank account and a wallet and higher limit of up to Rs 1 lakh for money transfer to beneficiary accounts.
The board of Paytm Payments Bank has approved a Rs 60 crore rights issue for its existing shareholders, including Paytm founder Vijay Shekhar Sharma, the firm said in a regulatory filing.
Payments banks are niche banks that were allowed by the Reserve Bank of India in a bid to expand access to financial services in Asia’s third-largest economy where millions don’t have a bank account.
In Paytm Payments Bank, One97 Communications owns a 49 percent stake and Vijay Shekhar Sharma owns 51 percent.
Paytm Payments Bank, which got the final approval from the Reserve Bank in January, hopes to start operations by the month-end, PayTm founder and chief executive Vijay Shekhar Sharma said here today.
"I will not stop till I can see a â€˜Paytm Accepted Here‘ sign in a London or San Francisco someday," Sharma said.
Mobikwik is firming up plans to transform into a full-fledged financial services platform to offer users interest on money parked in its mobile wallet through tie-ups with instruments such as mutual funds. It also plans to dole out loans to its customers through bank-to-bank collaborations.
Bharti Airtel will launch Airtel Payments Bank on Thursday in presence of Finance Minister Arun Jaitley and Bharti Group chief Sunil Bharti Mittal. Airtel Payments Bank rollout comes ahead of Vijay Shekhar Sharma‘s Paytm Payments Bank which is likely to be launched on January 15.
Paytm today said it has received final approval of the Reserve Bank to formally launch its payments bank and it expects to start operations next month.
More than 12 months after the Reserve Bank of India (RBI) issued in-principle approvals to 11 applicants to launch payments banks, only four have clear business models to launch the banks by February 2017, Mint reported on Wednesday.
Paytm Payments Bank CEO Shinjini Kumar also said that they are facing the challenge of KYC norms as mobile numbers of the customers cannot be their IDs.