Paytm Payments Bank says it received Scheduled Bank status from RBI

Paytm Payments Bank Limited,  on December 9, said it had been included in the Second Schedule to the Reserve Bank of India Act, 1934.

Being a Scheduled Payments Bank, Paytm Payments Bank can now explore new business opportunities, the company said in a press release.

"The Bank can participate in government and other large corporations issued Request for Proposals (RFP), primary auctions, fixed-rate and variable rate repos, and reverse repos, along with participation in Marginal Standing Facility," it said.

Also, the Bank would now also be eligible to partner in government-run financial inclusion schemes, the release said.

As per  RBI Act 1934, Banks satisfying the RBI that its affairs are not being conducted in a manner detrimental to the interests of its depositors, are included in the second schedule.

“The inclusion of Paytm Payments Bank in the Second Schedule to the Reserve Bank of India Act, 1934, will help us innovate further and bring more financial services and products to the underserved and unserved population in India,” said Satish Kumar Gupta, MD & CEO of Paytm Payments Bank.

In January, 2017, Paytm received the RBI nod to launch its payments bank. According to the company statement, as of March 31, 2021, the payments bank had over 6.4 crores savings accounts, and over Rs5200 crore deposits, including savings accounts, current accounts, fixed deposits with partner banks, and balance in wallets.