Paytm accelerating partnership with other banks, says CEO; removing dependency on Paytm Payments Bank
Paytm, a leading fintech company, on Thursday addressed analysts after the directions given by the Reserve Bank of India (RBI) to its associate bank. Vijay Shekhar Sharma, founder and CEO of Paytm has said that the company will continue to decline and decrease the dependency on its associate bank and will see through by accelerating its partnership with other banks.
Paytm, a leading fintech company, on Thursday addressed analysts after the directions given by the Reserve Bank of India (RBI) to its associate bank. Vijay Shekhar Sharma, founder and CEO of Paytm has said that the company will continue to decline and decrease the dependency on its associate bank and will see through by accelerating its partnership with other banks.
He informed that the company had already started to work with other banks two years back and will now accelerate the plan to move to other bank partners. "These are payment related relationships which means that all banks have necessary technology and capabilities," the CEO stated during a conference call with analysts.
"We are genuinely overwhelmed by the support that we have received from various banks, large banks of this country, and those who are already partners. More regional and large banks have reached out at a very senior level to say that they will be very happy to help us," Vijay added.
Giving more insights, he said that taking a step forward, Paytm will now work with current, and many more incremental bank partners and going forward it will not be working with its associate bank. Paytm is already in process of moving the nodal account to other large commercial banks which will be done before the due date- February 29, 2024.
During the call, Sharma said, "I can say that it is more of a big speed bump. But we believe that the partnership of other banks and capabilities that we have already developed will be able to see through in the next few days or quarter."
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