The Reserve Bank of India (RBI) has asked Paytm Payments Bank to wind down its operations. In January 2024, the central bank ordered the Paytm Payments Bank, an associate of Paytm, to halt taking any fresh deposits in its account or wallet from February 29.

The Reserve Bank of India (RBI) has asked Paytm Payments Bank to wind down its operations. In January 2024, the central bank ordered the Paytm Payments Bank, an associate of Paytm, to halt taking any fresh deposits in its account or wallet from February 29. However, RBI has extended the deadline to March 15. It means that account holders in Paytm Payments cannot process any debit or credit transactions. They won't be able to top up their customer accounts, prepaid instruments, wallets, FASTags, and National Common Mobility Cards after March 15, the RBI mentioned. Users will be able to pay tolls using the balance in the Existing Paytm FASTags. However, RBI has restricted any top-ups after March 15. Here's everything you need to know on how to deactivate Paytm FASTag, buy a new FASTag online and activate it. ALSO READ | Farmers' protest: Indian govt proposes 5-year plan to buy pulses, maize at MSP, Delhi march paused till Feb 21 List of authorised banks Airtel Payments Bank AU Small Finance Bank Axis Bank https Allahabad Bank Bank of Baroda Bank of Maharashtra Canara Bank City Union Bank Equitas Small Finance Bank Cosmos Bank DNS Bank Federal Bank FINO Payments Bank HDFC Bank ICICI Bank IDBI Bank IDFC First Bank IndusInd Bank Indian Bank Indian Overseas Bank Jammu and Kashmir Bank Karnataka Bank KVB Kotak Mahindra Bank LIVQUICK Nagpur Nagarik Sahakari Bank Punjab Maharashtra PNB Saraswat Co-operative Bank South Indian Bank State Bank of India Syndicate Bank Jalgaon Peoples Cooperative Thrissur District Coop Bank UCO Bank Union Bank of India Yes Bank Ltd How to deactivate Paytm FASTag? 1. Call the toll-free number 1800-120-4210 and give your registered mobile number and Vehicle Registration Number (VRN) or Tag ID. 2. A Paytm customer support agent will confirm the closure of your FASTag. OR 1. Open the Paytm app and click on the profile icon. 2. Select "Help & Support" and go to "Banking Services & Payments" > "FASTag." 3. Click on "Chat with us" and request the executive to deactivate your account. How to buy a new FASTag online? 1. Download the "My FASTag" app from the Google Play Store App or Apple App Store. Select "Buy FASTag" to access the e-commerce link. 2. Purchase the FASTag from either Amazon or Flipkart. They will deliver it to your address. Travel hassle-free with FASTag! Buy your FASTag today from authorised banks.@NHAI_Official@MORTHIndia pic.twitter.com/LI7xpMwfr4 — FASTagOfficial (@fastagofficial) February 16, 2024 × How to activate your FASTag online? 1. Open the "My FASTag" app. Select "Activate FASTag." 2. Select the e-commerce site where you have purchased the NHAI FASTag from (Amazon or Flipkart.) 3. Enter the FASTag ID or scan the QR code. 4. Input your vehicle details. Your new FASTag will be activated. On February 16, FASTag posted on X from their official account, "Travel hassle-free with FASTag! Buy your FASTag today from authorised banks." It's noteworthy that one vehicle cannot have multiple FASTag. Only the latest FASTag linked to the vehicle will remain active. If you have an account in a FASTag-authorised bank, you can also purchase it from the branch. You can also call the NHAI helpline number 1033 or visit the official website www.nhai.gov.in. (With inputs from agencies)

Paytm FASTag recharge will not be available after March 15. Here's a list of authorised banks

Cross border trade between India and Indonesia will now be much easier and much faster. The Reserve Bank of India and the bank Indonesia have signed a memorandum of understanding to establish a framework to promote the use of local currencies. The Indian rupee and the Indonesian rupiah for cross border transactions. Watch to know more!

India-Indonesia sign MoU, boosting trade & investment for both countries

In a move towards strengthening economic integration, the Reserve Bank of India (RBI) and Bank Indonesia (BI) signed a Memorandum of Understanding (MoU) on Thursday, to establish a framework promoting the use of local currencies for cross-border transactions.

As per a press release by the Indian Embassy in Jakarta, the MoU, inked during the visit of a high-level delegation from BI to Mumbai, aims to enhance business ties between India and Indonesia by facilitating transactions in Indian Rupees (INR) and Indonesian Rupiahs (IDR).

The framework, the second of its kind for India with a foreign country after the UAE, encourages the use of INR and IDR in current account transactions, permissible capital account transactions, and other economic and financial dealings as agreed upon by both nations.

With bilateral trade between India and Indonesia reaching USD 40 billion in 2022, the MoU is expected to streamline trade processes, reduce settlement time and costs, and minimise foreign exchange volatility for exporters and importers.

The MoU lays the groundwork for more profound financial market integration, including opening the door for future payment system linkages.

This closer cooperation is set to benefit professionals working in each other's countries, fostering an environment conducive to financial growth.

Additionally, it holds promise for about half a million Indian tourists who visit Indonesia annually.

In a move towards strengthening economic integration, the Reserve Bank of India (RBI) and Bank Indonesia (BI) signed a Memorandum of Understanding (MoU) on Thursday, to establish a framework promoting the use of local currencies for cross-border transactions.

In a move towards strengthening economic integration, the Reserve Bank of India (RBI) and Bank Indonesia (BI) signed a Memorandum of Understanding (MoU) on Thursday, to establish a framework promoting the use of local currencies for cross-border transactions. As per a press release by the Indian Embassy in Jakarta, the MoU, inked during the visit of a high-level delegation from BI to Mumbai, aims to enhance business ties between India and Indonesia by facilitating transactions in Indian Rupees (INR) and Indonesian Rupiahs (IDR). The framework, the second of its kind for India with a foreign country after the UAE, encourages the use of INR and IDR in current account transactions, permissible capital account transactions, and other economic and financial dealings as agreed upon by both nations. With bilateral trade between India and Indonesia reaching USD 40 billion in 2022, the MoU is expected to streamline trade processes, reduce settlement time and costs, and minimise foreign exchange volatility for exporters and importers. The MoU lays the groundwork for more profound financial market integration, including opening the door for future payment system linkages. This closer cooperation is set to benefit professionals working in each other's countries, fostering an environment conducive to financial growth. Additionally, it holds promise for about half a million Indian tourists who visit Indonesia annually.

RBI and Bank Indonesia ink pact to boost bilateral trade using local currencies

The Reserve Bank of India governor, Shaktikanta Das, raised India's economic growth forecast for 2024, citing strong performances in manufacturing, construction, and rural demand. He expects the economy to grow close to 8% this year, exceeding previous estimates.

RBI Governor buoyant on India's growth

The Reserve Bank of India governor, Shaktikanta Das, raised India's economic growth forecast for 2024, citing strong performances in manufacturing, construction, and rural demand. He expects the economy to grow close to 8% this year, exceeding previous estimates. The governor also reiterated the RBI's commitment to controlling inflation despite ongoing geopolitical and weather uncertainties.

RBI Governor: India's growth forecast revised upward nears 8% this year

Digital payments in India have recorded a 90-fold increase in the last 12 years, Reserve Bank of India governor Shaktikanta Das said on Monday.

He said that India accounts for nearly 46 per cent&nbsp;of the world’s digital transactions, adding that this is reflected in the Reserve Bank's Digital Payment Index, which has seen a four-fold rise in the last five years.

"The retail digital payments in India growing from 1.62 billion transactions in 2012-13 to over 147.26 billion transactions in 2023-24. The flagship of our payment systems, the UPI, has become the most talked about fast payment system not only in India but across the world," Das said&nbsp;at the Digital Payments Awareness Week event in Mumbai.

Calling Unified Payments Interface (UPI) the biggest contributor to the growth of the digital payments ecosystem, Das said that the share of the homegrown payment platform in digital payments has reached close to 80 per cent in 2023.

The central bank chief shared that the volume of UPI transactions has increased from 430 million in 2017 to 117.61 billion in 2023. He also noted that the time taken to reach the next 10 billion UPI transactions has progressively declined over the years.

It took 1,668 days for the first 10 billion Person-to-Merchant transactions, whereas the latest 10 billion milestone took just 45 days. Person-to-person transactions took 1,329 days to reach the first-ever 10 billion mark, while taking just 65 days for the latest 10 billion transactions.

Nevertheless, Das argued that there is significant scope for improvement in the digital payment ecosystem.&nbsp;

Through the “Har Payment Digital” Mission, he said, that the RBI is aiming to make every Indian adopt digital payments.

"Since the start of the mission in March 2023, 66.5 million new UPI users have been added up to January 31, 2024," the central bank governor said, while adding that the Payments Infrastructure Development Fund aided this growth.

This fund, created in January 2021 and extended up to December 2025, aims to increase the number of devices that accept digital payments in smaller cities and towns, strengthening India's digital payments system.&nbsp;

As per a 2023 RBI notification, the fund seeks to add 3 million payment devices every year.

Das also acknowledged bottlenecks in the internet banking infrastructure, especially when it comes to interoperability between banks and payment aggregators, leading to delays in payments and settlements.

He said that the RBI's 'Payments Vision 2025' aims to make internet banking transactions quicker and efficient.

"We have approved the implementation of an interoperable system to NPCI Bharat BillPay. We expect it to be launched during the current calendar year (2024-25)," the former Tamil Nadu-cadre bureaucrat said.

Digital payments in India have recorded a 90-fold increase in the last 12 years, Reserve Bank of India governor Shaktikanta Das said on Monday. He said that India accounts for nearly 46 per cent of the world’s digital transactions, adding that this is reflected in the Reserve Bank's Digital Payment Index, which has seen a four-fold rise in the last five years.

Digital payments in India have recorded a 90-fold increase in the last 12 years, Reserve Bank of India governor Shaktikanta Das said on Monday. He said that India accounts for nearly 46 per cent of the world’s digital transactions, adding that this is reflected in the Reserve Bank's Digital Payment Index, which has seen a four-fold rise in the last five years. "The retail digital payments in India growing from 1.62 billion transactions in 2012-13 to over 147.26 billion transactions in 2023-24. The flagship of our payment systems, the UPI, has become the most talked about fast payment system not only in India but across the world," Das said at the Digital Payments Awareness Week event in Mumbai. Calling Unified Payments Interface (UPI) the biggest contributor to the growth of the digital payments ecosystem, Das said that the share of the homegrown payment platform in digital payments has reached close to 80 per cent in 2023. The central bank chief shared that the volume of UPI transactions has increased from 430 million in 2017 to 117.61 billion in 2023. He also noted that the time taken to reach the next 10 billion UPI transactions has progressively declined over the years. It took 1,668 days for the first 10 billion Person-to-Merchant transactions, whereas the latest 10 billion milestone took just 45 days. Person-to-person transactions took 1,329 days to reach the first-ever 10 billion mark, while taking just 65 days for the latest 10 billion transactions. Nevertheless, Das argued that there is significant scope for improvement in the digital payment ecosystem. Through the “Har Payment Digital” Mission, he said, that the RBI is aiming to make every Indian adopt digital payments. "Since the start of the mission in March 2023, 66.5 million new UPI users have been added up to January 31, 2024," the central bank governor said, while adding that the Payments Infrastructure Development Fund aided this growth. This fund, created in January 2021 and extended up to December 2025, aims to increase the number of devices that accept digital payments in smaller cities and towns, strengthening India's digital payments system. As per a 2023 RBI notification, the fund seeks to add 3 million payment devices every year. Das also acknowledged bottlenecks in the internet banking infrastructure, especially when it comes to interoperability between banks and payment aggregators, leading to delays in payments and settlements. He said that the RBI's 'Payments Vision 2025' aims to make internet banking transactions quicker and efficient. "We have approved the implementation of an interoperable system to NPCI Bharat BillPay. We expect it to be launched during the current calendar year (2024-25)," the former Tamil Nadu-cadre bureaucrat said.

RBI Governor Shaktikanta Das hails UPI. Here's what he said

Paytm and its banking unit undergo major changes to comply with RBI's directives, impacting leadership and operational dynamics. The move aims to regain investor and regulatory confidence. Watch in for more details!

Paytm cuts ties with payments bank unit amid RBI regulatory crackdown

The Reserve Bank of India is taking a significant step towards enhancing transparency in the financial sector. In a bid to address the looming threat of climate change, the RBI has called upon lenders to disclose more structured information about their climate-related financial risks.

Reserve Bank of India mandates climate risk disclosure for financial institutions

In a bid to enhance regulatory alignment and spur innovation in the fintech sector, Indian Finance Minister, Nirmala Sitharaman, has proposed monthly virtual meetings between federal regulators, including the Reserve Bank of India (RBI), and startup and fintech companies. <o:p></o:p>

This initiative aims to facilitate proactive dialogue to address concerns and streamline regulatory frameworks, as highlighted during a recent meeting between Sitharaman and representatives from the fintech industry, regulatory bodies, and government departments.<o:p></o:p>

Emphasising the pivotal role of fintech innovations in developing the financial services landscape, Sitharaman highlighted the importance of strict regulatory compliance alongside technological advancement.<o:p></o:p>

Against the backdrop of recent regulatory actions, including the RBI's measures against Paytm Payments Bank, the meeting sought to allay concerns while fostering a conducive environment for fintech growth.<o:p></o:p>

The recent initiative is expected to enhance transparency, promote regulatory clarity, and spur innovation within the sector.<o:p></o:p>

In response to industry feedback, the Department of Financial Services is slated to organise workshops in collaboration with law enforcement agencies, providing fintech stakeholders with a platform to articulate their concerns and contribute to policy discourse. <o:p></o:p>

The discussions encompassed various key areas, including rationalising lending costs for critical sectors and digitising KYC norms across fintech segments.<o:p></o:p>

Acknowledging the rapid proliferation of fintech startups in India, Sitharaman welcomed suggestions aimed at fostering greater ease of doing business and enhancing consumer welfare. <o:p></o:p>

The meeting also witnessed participation from industry bodies and regulatory authorities.<o:p></o:p>

One of the significant outcomes of the meeting involves a concerted effort by regulatory bodies to examine changes in ownership or control of listed fintech entities. <o:p></o:p>

In a bid to enhance regulatory alignment and spur innovation in the fintech sector, Indian Finance Minister, Nirmala Sitharaman, has proposed monthly virtual meetings between federal regulators, including the Reserve Bank of India (RBI), and startup and fintech companies.

In a bid to enhance regulatory alignment and spur innovation in the fintech sector, Indian Finance Minister, Nirmala Sitharaman, has proposed monthly virtual meetings between federal regulators, including the Reserve Bank of India (RBI), and startup and fintech companies. This initiative aims to facilitate proactive dialogue to address concerns and streamline regulatory frameworks, as highlighted during a recent meeting between Sitharaman and representatives from the fintech industry, regulatory bodies, and government departments. Emphasising the pivotal role of fintech innovations in developing the financial services landscape, Sitharaman highlighted the importance of strict regulatory compliance alongside technological advancement. Against the backdrop of recent regulatory actions, including the RBI's measures against Paytm Payments Bank, the meeting sought to allay concerns while fostering a conducive environment for fintech growth. The recent initiative is expected to enhance transparency, promote regulatory clarity, and spur innovation within the sector. In response to industry feedback, the Department of Financial Services is slated to organise workshops in collaboration with law enforcement agencies, providing fintech stakeholders with a platform to articulate their concerns and contribute to policy discourse. The discussions encompassed various key areas, including rationalising lending costs for critical sectors and digitising KYC norms across fintech segments. Acknowledging the rapid proliferation of fintech startups in India, Sitharaman welcomed suggestions aimed at fostering greater ease of doing business and enhancing consumer welfare. The meeting also witnessed participation from industry bodies and regulatory authorities. One of the significant outcomes of the meeting involves a concerted effort by regulatory bodies to examine changes in ownership or control of listed fintech entities.

India’s finance minister initiates monthly RBI meetings with fintech firms to foster regulatory compliance

<o:p></o:p>

WION's Business Desk brings you this daily round up of global stories from the world of business and economy.&nbsp;

India evaluates $21 bn semiconductor proposals to boost chip manufacturing industry<o:p></o:p>

The Indian government is reviewing proposals totalling $21 billion in investments aimed at fostering chip manufacturing within the country.

<a href="https://www.wionews.com/business-economy/india-evaluates-21-bn-semiconductor-proposals-to-boost-chip-manufacturing-industry-694210">Read more here</a><o:p></o:p>

Expedia announces global workforce reduction: Report<o:p></o:p>

Responding to a forecasted moderation in travel demand, online travel giant Expedia has announced plans to reduce its global workforce by approximately 1,500 jobs, constituting about 9 per cent of its total employee base.

<a href="https://www.wionews.com/business-economy/expedia-announces-global-workforce-reduction-report-694218">Read more here</a><o:p></o:p>

India’s finance minister initiates monthly RBI meetings with fintech firms to foster regulatory compliance<o:p></o:p>

In a bid to enhance regulatory alignment and spur innovation in the fintech sector, Indian Finance Minister, Nirmala Sitharaman, has proposed monthly virtual meetings between federal regulators, including the Reserve Bank of India (RBI), and startup and fintech companies.

<a href="https://www.wionews.com/business-economy/indias-finance-minister-initiates-monthly-rbi-meetings-with-fintech-firms-to-foster-regulatory-compliance-694262">Read more here</a><o:p></o:p>

British banking icon Jacob Rothschild dies at 87<o:p></o:p>

Renowned British banker Jacob Rothschild, a prominent figure in Europe's esteemed banking lineage, has died at the age of 87, as confirmed by his family on Monday.

<a href="https://www.wionews.com/business-economy/british-banking-icon-jacob-rothschild-dies-at-87-694272">Read more here</a><o:p></o:p>

Spain's ports witness surge in goods traffic amid Red Sea crisis<o:p></o:p>

Spain's top ports experienced a notable upsurge in goods traffic during January, with volumes increasing by up to 25 per cent, propelled by disruptions in shipping routes caused by ongoing crises in the Red Sea region.

<a href="https://www.wionews.com/business-economy/spains-ports-witness-surge-in-goods-traffic-amid-red-sea-crisis-694284">Read more here</a><o:p></o:p>

Boeing safety review panel flags disconnect between management and employees<o:p></o:p>

A panel of experts tasked with scrutinising Boeing's safety management processes has unearthed a concerning "disconnect" between the aerospace giant's senior management and its workforce regarding safety culture, raising significant apprehensions about internal safety protocols.

<a href="https://www.wionews.com/business-economy/boeing-safety-review-panel-flags-disconnect-between-management-and-employees-694296">Read more here</a><o:p></o:p>

Google sounds alarm on Microsoft's cloud monopoly, calls for regulatory action<o:p></o:p>

Alphabet's Google Cloud has intensified its critique of Microsoft's cloud computing practices, cautioning against the emergence of a monopolistic environment that could stifle innovation, particularly in emerging technologies like generative artificial intelligence.

<a href="https://www.wionews.com/business-economy/google-sounds-alarm-on-microsofts-cloud-monopoly-calls-for-regulatory-action-694303">Read more here</a><o:p></o:p>

Berkshire Hathaway nears $1 trillion valuation following earnings surge: Report<o:p></o:p>

Warren Buffett's Berkshire Hathaway has soared to new heights, nearing a valuation of $1 trillion following a significant surge in its post-earnings stock performance.

<a href="https://www.wionews.com/business-economy/berkshire-hathaway-nears-1-trillion-valuation-following-earnings-surge-report-694319">Read more here</a><o:p></o:p>

India's defence ambitions take flight: A self-reliant future beckons<o:p></o:p>

India's defence sector is experiencing a significant transformation, with ambitious goals to propel the nation towards self-reliance and global prominence.

<a href="https://www.wionews.com/business-economy/indias-defence-ambitions-take-flight-a-self-reliant-future-beckons-694287">Read more here</a><o:p></o:p>

India's exports defy global headwinds: Reaching new shores in Africa, Latin America, &amp; Central Asia<o:p></o:p>

Despite global trade uncertainties, India's exports are charting a new course, venturing into uncharted territories in Africa, Latin America, and Central Asia.

<a href="https://www.wionews.com/business-economy/indias-exports-defy-global-headwinds-reaching-new-shores-in-africa-latin-america-central-asia-694291">Read more here</a><o:p></o:p>

Standard Chartered halts new China offshore investments amid capital outflow worries<o:p></o:p>

Standard Chartered, a London-headquartered bank, has announced the suspension of new investments by its clients in China into offshore products via a quota-based channel, citing "commercial reasons."

<a href="https://www.wionews.com/business-economy/standard-chartered-halts-new-china-offshore-investments-amid-capital-outflow-worries-694313">Read more here</a><o:p></o:p>

David Greenbaum named President of Disney Studios<o:p></o:p>

David Greenbaum has been appointed to the newly established position of president, taking charge of Disney Live Action and 20th Century Studios, as announced by Walt Disney Studios on Monday.

<a href="https://www.wionews.com/business-economy/david-greenbaum-named-president-of-disney-studios-694316">Read more here</a><o:p></o:p>

Douglas Readies IPO announcement surrounded by market optimism<o:p></o:p>

German perfume retailer Douglas is gearing up to announce its intention to proceed with an initial public offering (IPO) in the coming days, according to two individuals familiar with the matter.

<a href="https://www.wionews.com/business-economy/douglas-readies-ipo-announcement-surrounded-by-market-optimism-694321">Read more here</a><o:p></o:p>

WION's Business Desk brings you this daily round up of global stories from the world of business and economy. India evaluates $21 bn semiconductor proposals to boost chip manufacturing industry The Indian government is reviewing proposals totalling $21 billion in investments aimed at fostering chip manufacturing within the country.

WION's Business Desk brings you this daily round up of global stories from the world of business and economy. India evaluates $21 bn semiconductor proposals to boost chip manufacturing industry The Indian government is reviewing proposals totalling $21 billion in investments aimed at fostering chip manufacturing within the country. Read more here Expedia announces global workforce reduction: Report Responding to a forecasted moderation in travel demand, online travel giant Expedia has announced plans to reduce its global workforce by approximately 1,500 jobs, constituting about 9 per cent of its total employee base. Read more here India’s finance minister initiates monthly RBI meetings with fintech firms to foster regulatory compliance In a bid to enhance regulatory alignment and spur innovation in the fintech sector, Indian Finance Minister, Nirmala Sitharaman, has proposed monthly virtual meetings between federal regulators, including the Reserve Bank of India (RBI), and startup and fintech companies. Read more here British banking icon Jacob Rothschild dies at 87 Renowned British banker Jacob Rothschild, a prominent figure in Europe's esteemed banking lineage, has died at the age of 87, as confirmed by his family on Monday. Read more here Spain's ports witness surge in goods traffic amid Red Sea crisis Spain's top ports experienced a notable upsurge in goods traffic during January, with volumes increasing by up to 25 per cent, propelled by disruptions in shipping routes caused by ongoing crises in the Red Sea region. Read more here Boeing safety review panel flags disconnect between management and employees A panel of experts tasked with scrutinising Boeing's safety management processes has unearthed a concerning "disconnect" between the aerospace giant's senior management and its workforce regarding safety culture, raising significant apprehensions about internal safety protocols. Read more here Google sounds alarm on Microsoft's cloud monopoly, calls for regulatory action Alphabet's Google Cloud has intensified its critique of Microsoft's cloud computing practices, cautioning against the emergence of a monopolistic environment that could stifle innovation, particularly in emerging technologies like generative artificial intelligence. Read more here Berkshire Hathaway nears $1 trillion valuation following earnings surge: Report Warren Buffett's Berkshire Hathaway has soared to new heights, nearing a valuation of $1 trillion following a significant surge in its post-earnings stock performance. Read more here India's defence ambitions take flight: A self-reliant future beckons India's defence sector is experiencing a significant transformation, with ambitious goals to propel the nation towards self-reliance and global prominence. Read more here India's exports defy global headwinds: Reaching new shores in Africa, Latin America, & Central Asia Despite global trade uncertainties, India's exports are charting a new course, venturing into uncharted territories in Africa, Latin America, and Central Asia. Read more here Standard Chartered halts new China offshore investments amid capital outflow worries Standard Chartered, a London-headquartered bank, has announced the suspension of new investments by its clients in China into offshore products via a quota-based channel, citing "commercial reasons." Read more here David Greenbaum named President of Disney Studios David Greenbaum has been appointed to the newly established position of president, taking charge of Disney Live Action and 20th Century Studios, as announced by Walt Disney Studios on Monday. Read more here Douglas Readies IPO announcement surrounded by market optimism German perfume retailer Douglas is gearing up to announce its intention to proceed with an initial public offering (IPO) in the coming days, according to two individuals familiar with the matter. Read more here

WION Business Wrap | India’s semiconductor proposal, Expedia’s restructuring and more

Paytm founder and CEO Vijay Shekhar Sharma has stepped&nbsp;down as the chairman of Paytm Payments Bank, according to an exchange filing, on Monday (Feb 26). This comes as the embattled company overhauled its board in the wake of a clampdown by India’s central bank – the Reserve Bank of India (RBI).&nbsp;

Paytm’s parent company, One97 Communications said that it has withdrawn its nominee Sharma from the bank’s board as a part-time non-executive chairman and board member.&nbsp;

WATCH |&nbsp;Decoding Paytm's latest request to RBI

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/decoding-paytms-latest-request-to-rbi-693368/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

“The Company has been separately informed that Vijay Shekhar Sharma has also resigned from the Board of Paytm Payments Bank to enable this transition,” said the company in an exchange filing.&nbsp; 
 
It added, “PPBL (Paytm Payments Bank Limited) has informed us that they will commence the process of appointing a new Chairman.”&nbsp;

Sharma has a 51 per cent stake in Paytm Payments Bank, while One 97 Communications owns the rest.

<h2>New directors to join board&nbsp;</h2>

Srinivasan Sridhar, former chairman of state-owned Central Bank of India, former Bank of Baroda and Executive Director Ashok Kumar Garg and two retired Indian Administrative Service officers, Debendranath Sarangi and Rajni Sekhri Sibal, will join the board as Independent Directors, said Paytm.

The board also comprises former Executive Director of Punjab &amp; Sind Bank, Arvind Kumar Jain as Independent Director and Surinder Chawla, MD and CEO at Paytm Payments Bank, the company said.&nbsp;

Also Read |&nbsp;<a href="https://www.wionews.com/business-economy/explained-rbi-orders-paytms-banking-arm-to-stop-fresh-business-what-happens-next-685969">Explained | RBI orders Paytm’s banking arm to stop fresh business. What happens next?</a>

Chawla welcomed the recent appointments to the board and said that it marks a “significant step forward in PPBL’s journey. Their distinguished expertise will be pivotal in guiding us toward enhancing our governance structures and operational standards, further solidifying our dedication to compliance and best practices.”

<h2>RBI’s order to Paytm</h2>

The Reserve Bank of India (RBI) had asked Paytm Payments Bank to wind down operations by March 15 citing persistent non-compliances and continued material supervisory concerns, last month.&nbsp;

Also Read |&nbsp;<a href="https://www.wionews.com/india-news/india-rbi-enforces-major-business-restrictions-on-paytm-payments-bank-685550">India: RBI enforces major business restrictions on Paytm Payments Bank</a>

Paytm Payments Bank (the banking arm of Paytm) was ordered to stop accepting fresh deposits in its accounts or popular wallets starting in March.&nbsp;

The RBI’s decision proved to be a major blow to Paytm – one of India’s largest payment firms and triggered a meltdown in the company’s stock.

Notably, Sharma’s stepping down comes months after two independent directors also quit for reasons other than the restrictions placed on the unit by the RBI.&nbsp;

(With inputs from agencies) 
&nbsp;

Paytm founder and CEO Vijay Shekhar Sharma has stepped down as the chairman of Paytm Payments Bank, according to an exchange filing, on Monday (Feb 26). This comes as the embattled company overhauled its board in the wake of a clampdown by India’s central bank – the Reserve Bank of India (RBI).

Paytm founder and CEO Vijay Shekhar Sharma has stepped down as the chairman of Paytm Payments Bank, according to an exchange filing, on Monday (Feb 26). This comes as the embattled company overhauled its board in the wake of a clampdown by India’s central bank – the Reserve Bank of India (RBI). Paytm’s parent company, One97 Communications said that it has withdrawn its nominee Sharma from the bank’s board as a part-time non-executive chairman and board member. WATCH | Decoding Paytm's latest request to RBI “The Company has been separately informed that Vijay Shekhar Sharma has also resigned from the Board of Paytm Payments Bank to enable this transition,” said the company in an exchange filing. It added, “PPBL (Paytm Payments Bank Limited) has informed us that they will commence the process of appointing a new Chairman.” Sharma has a 51 per cent stake in Paytm Payments Bank, while One 97 Communications owns the rest. New directors to join board Srinivasan Sridhar, former chairman of state-owned Central Bank of India, former Bank of Baroda and Executive Director Ashok Kumar Garg and two retired Indian Administrative Service officers, Debendranath Sarangi and Rajni Sekhri Sibal, will join the board as Independent Directors, said Paytm. The board also comprises former Executive Director of Punjab & Sind Bank, Arvind Kumar Jain as Independent Director and Surinder Chawla, MD and CEO at Paytm Payments Bank, the company said. Also Read | Explained | RBI orders Paytm’s banking arm to stop fresh business. What happens next? Chawla welcomed the recent appointments to the board and said that it marks a “significant step forward in PPBL’s journey. Their distinguished expertise will be pivotal in guiding us toward enhancing our governance structures and operational standards, further solidifying our dedication to compliance and best practices.” RBI’s order to Paytm The Reserve Bank of India (RBI) had asked Paytm Payments Bank to wind down operations by March 15 citing persistent non-compliances and continued material supervisory concerns, last month. Also Read | India: RBI enforces major business restrictions on Paytm Payments Bank Paytm Payments Bank (the banking arm of Paytm) was ordered to stop accepting fresh deposits in its accounts or popular wallets starting in March. The RBI’s decision proved to be a major blow to Paytm – one of India’s largest payment firms and triggered a meltdown in the company’s stock. Notably, Sharma’s stepping down comes months after two independent directors also quit for reasons other than the restrictions placed on the unit by the RBI. (With inputs from agencies)

Paytm CEO Vijay Shekhar Sharma steps down from payments bank board amid crisis

India's central bank has asked the country's payments authority to examine digital payments firm Paytm's request to become a third-party payment app. If the request is approved, Paytm could continue processing payments via India's popular unified payments interface or UPI.

Decoding Paytm's latest request to RBI

India’s Reserve Bank (RBI) has ramped up scrutiny of fintech companies, signalling an end to lenient regulation of this pivotal industry. <o:p></o:p>

Following regular inspections in the past year, it was revealed that several fintech firms exhibited leniency in areas such as customer due diligence, prompting the RBI to take decisive action. <o:p></o:p>

The central bank has adopted measures, including hiring analysts to assess customer data and conducting frequent meetings with industry executives.<o:p></o:p>

Last month, the RBI set a precedent for its stricter stance by instructing sector giant Paytm to wind down its banking unit, citing persistent non-compliance with regulations. <o:p></o:p>

This move created a ripple of concern within the sector. <o:p></o:p>

Subsequently, this month, Visa received a separate order from the RBI to cease business-to-business card payments through third-party fintech firms. <o:p></o:p>

In particular, the RBI has expressed unease about the digital customer identification process employed by fintech firms. <o:p></o:p>

This process, reliant on a government identity proof called Aadhaar and a linked mobile number, is faster and cheaper but susceptible to manipulation, raising concerns about fraud and money laundering. <o:p></o:p>

While not prohibiting this method, the RBI has mandated that digitally verified accounts be tagged as 'high risk' until physical or video-call-based identification is completed, in adherence to its regulations on customer due diligence.<o:p></o:p>

As part of its heightened oversight, RBI officials are conducting frequent onsite inspections, randomly selecting samples from fintech firms' user bases to verify authenticity. <o:p></o:p>

The frequency of these meetings has increased from once a quarter to once a month, reflecting the central bank's commitment to more proactive regulation. <o:p></o:p>

Simultaneously, the RBI is investing in advanced technology to detect regulatory violations and hiring analysts to scrutinise vast amounts of customer data held by fintech firms.<o:p></o:p>

While this intensified scrutiny is expected to drive up compliance costs and capital requirements, potentially triggering sector consolidation, industry experts believe it will encourage compliance and deeper diligence. <o:p></o:p>

Reuters cited Ashish Fafadia, Partner at Blume Ventures, who noted that the increased scrutiny will compel support for companies that adhere to regulations, fostering a more compliant fintech landscape.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

India’s Reserve Bank (RBI) has ramped up scrutiny of fintech companies, signalling an end to lenient regulation of this pivotal industry. Following regular inspections in the past year, it was revealed that several fintech firms exhibited leniency in areas such as customer due diligence, prompting the RBI to take decisive action.

India’s Reserve Bank (RBI) has ramped up scrutiny of fintech companies, signalling an end to lenient regulation of this pivotal industry. Following regular inspections in the past year, it was revealed that several fintech firms exhibited leniency in areas such as customer due diligence, prompting the RBI to take decisive action. The central bank has adopted measures, including hiring analysts to assess customer data and conducting frequent meetings with industry executives. Last month, the RBI set a precedent for its stricter stance by instructing sector giant Paytm to wind down its banking unit, citing persistent non-compliance with regulations. This move created a ripple of concern within the sector. Subsequently, this month, Visa received a separate order from the RBI to cease business-to-business card payments through third-party fintech firms. In particular, the RBI has expressed unease about the digital customer identification process employed by fintech firms. This process, reliant on a government identity proof called Aadhaar and a linked mobile number, is faster and cheaper but susceptible to manipulation, raising concerns about fraud and money laundering. While not prohibiting this method, the RBI has mandated that digitally verified accounts be tagged as 'high risk' until physical or video-call-based identification is completed, in adherence to its regulations on customer due diligence. As part of its heightened oversight, RBI officials are conducting frequent onsite inspections, randomly selecting samples from fintech firms' user bases to verify authenticity. The frequency of these meetings has increased from once a quarter to once a month, reflecting the central bank's commitment to more proactive regulation. Simultaneously, the RBI is investing in advanced technology to detect regulatory violations and hiring analysts to scrutinise vast amounts of customer data held by fintech firms. While this intensified scrutiny is expected to drive up compliance costs and capital requirements, potentially triggering sector consolidation, industry experts believe it will encourage compliance and deeper diligence. Reuters cited Ashish Fafadia, Partner at Blume Ventures, who noted that the increased scrutiny will compel support for companies that adhere to regulations, fostering a more compliant fintech landscape. (With inputs from Reuters)

India’s central bank intensifies oversight of fintech sector through rigorous inspections

WION's&nbsp;Business Desk brings you this daily round up of global stories from the world of business and economy.<o:p></o:p>

Intel unveils ambitious plans to overtake TSMC with advanced chip manufacturing technologies<o:p></o:p>

At a technology conference in San Jose, California, Intel announced its ambitious plans to regain dominance in the semiconductor industry by surpassing its main competitor, Taiwan Semiconductor Manufacturing Co (TSMC).<o:p></o:p>

<a href="https://www.wionews.com/business-economy/intel-unveils-ambitious-plans-to-overtake-tsmc-with-advanced-chip-manufacturing-technologies-692590">Read more here</a><o:p></o:p>

US natural gas producers struggle amid record supplies and plummeting prices<o:p></o:p>

Amid a relentless surge in natural gas output, US gas producers find themselves grappling with plummeting prices and mounting losses.<o:p></o:p>

<a href="https://www.wionews.com/business-economy/us-natural-gas-producers-struggle-amid-record-supplies-and-plummeting-prices-692595">Read more here</a><o:p></o:p>

EV startups Rivian and Lucid adjust 2024 production forecasts amid market challenges<o:p></o:p>

Electric vehicle (EV) startups Rivian and Lucid have adjusted their production forecasts for 2024, citing challenges in the market landscape and persistent borrowing costs hindering consumer adoption of battery-powered cars.<o:p></o:p>

<a href="https://www.wionews.com/business-economy/ev-startups-rivian-and-lucid-adjust-2024-production-forecasts-amid-market-challenges-692600">Read more here</a><o:p></o:p>

Boeing replaces head of 737 jetliner programme in wake of mid-air door blowout incident<o:p></o:p>

In the wake of the infamous mid-air window blow-out, Boeing has said that the head of its 737 jetliner programme Ed Clark is departing the company.<o:p></o:p>

<a href="https://www.wionews.com/world/boeing-replaces-head-of-737-jetliner-program-after-last-months-door-blowout-incident-692579">Read more here</a><o:p></o:p>

ED seeks look out circular against Byju's founder amid ongoing investigation: Report<o:p></o:p>

The Indian Directorate of Enforcement (ED) has urged the Bureau of Immigration (BOI) to issue a look-out circular (LOC) against Byju Raveendran, the founder and CEO of the embattled edtech giant Byju's,<o:p></o:p>

<a href="https://www.wionews.com/business-economy/ed-seeks-lookout-circular-against-byjus-founder-amid-ongoing-investigation-report-692540">Read more here</a><o:p></o:p>

Russia delivers on grain promise: 200,000 tonnes shipped to six African nations<o:p></o:p>

Russia has successfully fulfilled its commitment to provide humanitarian aid in the form of 200,000 metric tonnes of free grain to six African countries, as previously announced by President Vladimir Putin in July.<o:p></o:p>

<a href="https://www.wionews.com/business-economy/russia-delivers-on-grain-promise-200000-tonnes-shipped-to-six-african-nations-692560">Read more here</a><o:p></o:p>

India’s central bank intensifies oversight of fintech sector through rigorous inspections<o:p></o:p>

India’s Reserve Bank (RBI) has ramped up scrutiny of fintech companies, signalling an end to lenient regulation of this pivotal industry.<o:p></o:p>

<a href="https://www.wionews.com/business-economy/indias-central-bank-intensifies-oversight-of-fintech-sector-through-rigorous-inspections-692562">Read more here</a><o:p></o:p>

Abu Dhabi's Mubadala Investment explores stake in London's Heathrow Airport<o:p></o:p>

Abu Dhabi's Mubadala Investment is actively considering an investment in London's Heathrow Airport, Reuters reported citing sources familiar with the matter.<o:p></o:p>

<a href="https://www.wionews.com/business-economy/abu-dhabis-mubadala-investment-explores-stake-in-londons-heathrow-airport-692569">Read more here</a><o:p></o:p>

India surpasses China, emerges as HSBC's third-largest profit hub in 2023<o:p></o:p>

In a financial twist, India has become the unexpected star in HSBC's profit galaxy, surpassing China and securing its position as the third-largest profitable region for the Hong Kong and Shanghai Banking Corp Ltd (HSBC) in 2023.<o:p></o:p>

<a href="https://www.wionews.com/business-economy/india-surpasses-china-emerges-as-hsbcs-third-largest-profit-hub-in-2023-692613">Read more here</a><o:p></o:p>

Federal Reserve treads cautiously on rate cuts amid economic uncertainty<o:p></o:p>

In a peek into the Federal Reserve's recent discussions, the minutes of the January meeting have unveiled a predominant concern among policymakers about the potential risks associated with cutting interest rates too soon.<o:p></o:p>

<a href="https://www.wionews.com/business-economy/federal-reserve-treads-cautiously-on-rate-cuts-amid-economic-uncertainty-692620">Read more here</a><o:p></o:p>

Global debt skyrockets to unprecedented $313 tn, emerging markets facing new challenges<o:p></o:p>

The world has witnessed a staggering surge in global debt, reaching an unprecedented high of $313 trillion in 2023, as reported by the Institute of International Finance (IIF), a financial services trade group.<o:p></o:p>

<a href="https://www.wionews.com/business-economy/global-debt-skyrockets-to-unprecedented-313-tn-emerging-markets-facing-new-challenges-692634">Read more here</a><o:p></o:p>

WION's Business Desk brings you this daily round up of global stories from the world of business and economy. Intel unveils ambitious plans to overtake TSMC with advanced chip manufacturing technologies At a technology conference in San Jose, California, Intel announced its ambitious plans to regain dominance in the semiconductor industry by surpassing its main competitor, Taiwan Semiconductor Manufacturing Co (TSMC).

WION's Business Desk brings you this daily round up of global stories from the world of business and economy. Intel unveils ambitious plans to overtake TSMC with advanced chip manufacturing technologies At a technology conference in San Jose, California, Intel announced its ambitious plans to regain dominance in the semiconductor industry by surpassing its main competitor, Taiwan Semiconductor Manufacturing Co (TSMC). Read more here US natural gas producers struggle amid record supplies and plummeting prices Amid a relentless surge in natural gas output, US gas producers find themselves grappling with plummeting prices and mounting losses. Read more here EV startups Rivian and Lucid adjust 2024 production forecasts amid market challenges Electric vehicle (EV) startups Rivian and Lucid have adjusted their production forecasts for 2024, citing challenges in the market landscape and persistent borrowing costs hindering consumer adoption of battery-powered cars. Read more here Boeing replaces head of 737 jetliner programme in wake of mid-air door blowout incident In the wake of the infamous mid-air window blow-out, Boeing has said that the head of its 737 jetliner programme Ed Clark is departing the company. Read more here ED seeks look out circular against Byju's founder amid ongoing investigation: Report The Indian Directorate of Enforcement (ED) has urged the Bureau of Immigration (BOI) to issue a look-out circular (LOC) against Byju Raveendran, the founder and CEO of the embattled edtech giant Byju's, Read more here Russia delivers on grain promise: 200,000 tonnes shipped to six African nations Russia has successfully fulfilled its commitment to provide humanitarian aid in the form of 200,000 metric tonnes of free grain to six African countries, as previously announced by President Vladimir Putin in July. Read more here India’s central bank intensifies oversight of fintech sector through rigorous inspections India’s Reserve Bank (RBI) has ramped up scrutiny of fintech companies, signalling an end to lenient regulation of this pivotal industry. Read more here Abu Dhabi's Mubadala Investment explores stake in London's Heathrow Airport Abu Dhabi's Mubadala Investment is actively considering an investment in London's Heathrow Airport, Reuters reported citing sources familiar with the matter. Read more here India surpasses China, emerges as HSBC's third-largest profit hub in 2023 In a financial twist, India has become the unexpected star in HSBC's profit galaxy, surpassing China and securing its position as the third-largest profitable region for the Hong Kong and Shanghai Banking Corp Ltd (HSBC) in 2023. Read more here Federal Reserve treads cautiously on rate cuts amid economic uncertainty In a peek into the Federal Reserve's recent discussions, the minutes of the January meeting have unveiled a predominant concern among policymakers about the potential risks associated with cutting interest rates too soon. Read more here Global debt skyrockets to unprecedented $313 tn, emerging markets facing new challenges The world has witnessed a staggering surge in global debt, reaching an unprecedented high of $313 trillion in 2023, as reported by the Institute of International Finance (IIF), a financial services trade group. Read more here

WION Business Wrap | Intel’s plan to overtake TSMC, Struggles of US natural gas producers and more

The Reserve Bank of India (RBI) has released its February bulletin, painting a picture of stabilising inflation and promising economic prospects for India in 2024.

According to the RBI bulletin, while inflation expectations may edge down, renewed pressures from certain sectors remains a possibility.

Retail inflation in January was recorded at a three-month low of 5.1 per cent , signalling positive developments in the overall inflation scenario.

The central bank's monthly bulletin titled 'State of the Economy' highlighted the favourable conditions emerging both domestically and globally.

As per RBI's assessment, the Indian economy maintains its momentum, supported by promising high-frequency indicators.

The bulletin expressed optimism about corporate expansion strategies, fuelled by expectations of increased demand.

“Ex­pectations of a fresh round of capex by the corporate sector is likely to fuel the next leg of growth,” RBI said in its press release.

"Core inflation is at its lowest since October 2019," it added, hinting at a positive outlook for input costs and manufacturing firm selling prices.

The bulletin also addressed fiscal matters, with internal simulations indicating a promising trajectory for India's debt-to-GDP ratio.

The RBI projected a decrease to 73.4 per cent by 2030-31, a notable improvement from the IMF's forecast of 78.2 per cent.

Dismissing concerns raised by the IMF, the RBI emphasised that fiscal tightening is not immediately warranted.

In another article titled 'The Shape of Growth Compatible Fiscal Consolidation', the RBI outlined strategies for fiscal consolidation, advocating for a focus on developmental expenditure.

This includes investments in health, education, digitalisation, and climate risk mitigation, aiming to drive sustainable growth.

The article highlighted the potential of directing government spending towards employment-generating sectors, which could significantly reduce the debt-GDP ratio by 2030-31.

&nbsp;“We find that if government expenditure is directed towards the above-mentioned segments, the debt-GDP ratio of the general government can decline substantially to 73.4 per cent of GDP by 2030-31,” the article said.

Regarding inflation dynamics, the bulletin explored the impact of recent shocks on headline and core inflation.

Despite supply-side disruptions caused by events like the COVID-19 pandemic and geopolitical tensions, various core inflation measures have held up well.

The long-term convergence of non-core to core inflation&nbsp;remains a notable observation. Core inflation refers to the&nbsp;change in prices for goods and services, excluding those from the food and energy sectors.

“Since early 2020, multiple supply side shocks, particularly in food and energy, have led to some degree of persistence in headline inflation. This led to spillovers from non-core to core inflation weakening some properties of core inflation, although in the long-run, non-core inflation still converges to core inflation”, the article said.

Lastly, the bulletin said that evolving business sentiments underscored the resilience of Indian services and infrastructure sectors.

Despite pandemic-induced challenges, both sectors exhibited a gradual rebound in confidence, as reflected in the Services and Infrastructure Outlook Survey (SIOS) conducted by the RBI.

(With inputs from agencies)

The Reserve Bank of India (RBI) has released its February bulletin, painting a picture of stabilising inflation and promising economic prospects for India in 2024.

The Reserve Bank of India (RBI) has released its February bulletin, painting a picture of stabilising inflation and promising economic prospects for India in 2024. According to the RBI bulletin, while inflation expectations may edge down, renewed pressures from certain sectors remains a possibility. Retail inflation in January was recorded at a three-month low of 5.1 per cent , signalling positive developments in the overall inflation scenario. The central bank's monthly bulletin titled 'State of the Economy' highlighted the favourable conditions emerging both domestically and globally. As per RBI's assessment, the Indian economy maintains its momentum, supported by promising high-frequency indicators. The bulletin expressed optimism about corporate expansion strategies, fuelled by expectations of increased demand. “Expectations of a fresh round of capex by the corporate sector is likely to fuel the next leg of growth,” RBI said in its press release. "Core inflation is at its lowest since October 2019," it added, hinting at a positive outlook for input costs and manufacturing firm selling prices. The bulletin also addressed fiscal matters, with internal simulations indicating a promising trajectory for India's debt-to-GDP ratio. The RBI projected a decrease to 73.4 per cent by 2030-31, a notable improvement from the IMF's forecast of 78.2 per cent. Dismissing concerns raised by the IMF, the RBI emphasised that fiscal tightening is not immediately warranted. In another article titled 'The Shape of Growth Compatible Fiscal Consolidation', the RBI outlined strategies for fiscal consolidation, advocating for a focus on developmental expenditure. This includes investments in health, education, digitalisation, and climate risk mitigation, aiming to drive sustainable growth. The article highlighted the potential of directing government spending towards employment-generating sectors, which could significantly reduce the debt-GDP ratio by 2030-31. “We find that if government expenditure is directed towards the above-mentioned segments, the debt-GDP ratio of the general government can decline substantially to 73.4 per cent of GDP by 2030-31,” the article said. Regarding inflation dynamics, the bulletin explored the impact of recent shocks on headline and core inflation. Despite supply-side disruptions caused by events like the COVID-19 pandemic and geopolitical tensions, various core inflation measures have held up well. The long-term convergence of non-core to core inflation remains a notable observation. Core inflation refers to the change in prices for goods and services, excluding those from the food and energy sectors. “Since early 2020, multiple supply side shocks, particularly in food and energy, have led to some degree of persistence in headline inflation. This led to spillovers from non-core to core inflation weakening some properties of core inflation, although in the long-run, non-core inflation still converges to core inflation”, the article said. Lastly, the bulletin said that evolving business sentiments underscored the resilience of Indian services and infrastructure sectors. Despite pandemic-induced challenges, both sectors exhibited a gradual rebound in confidence, as reflected in the Services and Infrastructure Outlook Survey (SIOS) conducted by the RBI. (With inputs from agencies)

India's inflation prospects stabilise, economy poised for growth: RBI Bulletin

Amid regulatory challenges and uncertainties, Paytm's CEO, Vijay Shekhar Sharma, reaffirmed the continuity of the company's QR code and Soundbox services beyond March 15, providing reassurance to users amidst ongoing concerns. <o:p></o:p>

In a tweet, Sharma said, "Paytm QR, Soundbox and EDC (card machine) will continue to work like always, even after March 15," referring to the latest clarification from the Reserve Bank of India (RBI) regarding the operational status of Paytm services.<o:p></o:p>

The company's proactive stance is evident in its widespread advertising campaign, strategically placed across prominent newspapers, aiming to allay fears and dispel rumours surrounding the operational status of Paytm's services. <o:p></o:p>

The advertisements prominently feature the message, "Beware of any rumour about your Paytm Soundbox and QR. They will keep working always," reaffirming the perpetual functionality of these services. <o:p></o:p>

In addition to the advertisements, Paytm founder Vijay Shekhar Sharma echoed the sentiment of continuity in a social media post, stating, "Yep! Today, tomorrow, always."

<div class="ui-state-default" contenteditable="false">
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<blockquote class="twitter-tweet">
Yep ! Today, tomorrow, always.<a href="https://twitter.com/hashtag/PaytmKaro?src=hash&amp;ref_src=twsrc%5Etfw">#PaytmKaro</a> <a href="https://t.co/4iM9Jxm94T">pic.twitter.com/4iM9Jxm94T</a>
— Vijay Shekhar Sharma (@vijayshekhar) <a href="https://twitter.com/vijayshekhar/status/1759441937017294923?ref_src=twsrc%5Etfw">February 19, 2024</a></blockquote>
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&nbsp;

<o:p></o:p>

The company's proactive communication extends to directing users to consult RBI's FAQs, specifically numbers 21 and 22, which provide clarity on the operational status of Paytm QR codes, Soundbox, and card machines. <o:p></o:p>

The reassurance from Paytm comes in the wake of regulatory actions imposed by the RBI, including restrictions on Paytm Payments Bank, citing persistent non-compliances and supervisory concerns. <o:p></o:p>

Despite these challenges, Paytm shares surged by 5 per cent following its partnership with Axis Bank for merchant payment settlements.<o:p></o:p>

The RBI's decision to extend the deadline for Paytm Payments Bank operations until March 15 offers a temporary reprieve, allowing the company to navigate regulatory adjustments.<o:p></o:p>

However, the regulatory impact extends beyond banking operations, with Paytm Payments Bank excluded from the National Highway Authority of India's list of authorised banks for the FASTag service. <o:p></o:p>

Amid regulatory challenges and uncertainties, Paytm's CEO, Vijay Shekhar Sharma, reaffirmed the continuity of the company's QR code and Soundbox services beyond March 15, providing reassurance to users amidst ongoing concerns.

Amid regulatory challenges and uncertainties, Paytm's CEO, Vijay Shekhar Sharma, reaffirmed the continuity of the company's QR code and Soundbox services beyond March 15, providing reassurance to users amidst ongoing concerns. In a tweet, Sharma said, "Paytm QR, Soundbox and EDC (card machine) will continue to work like always, even after March 15," referring to the latest clarification from the Reserve Bank of India (RBI) regarding the operational status of Paytm services. The company's proactive stance is evident in its widespread advertising campaign, strategically placed across prominent newspapers, aiming to allay fears and dispel rumours surrounding the operational status of Paytm's services. The advertisements prominently feature the message, "Beware of any rumour about your Paytm Soundbox and QR. They will keep working always," reaffirming the perpetual functionality of these services. In addition to the advertisements, Paytm founder Vijay Shekhar Sharma echoed the sentiment of continuity in a social media post, stating, "Yep! Today, tomorrow, always." Yep ! Today, tomorrow, always.#PaytmKaro pic.twitter.com/4iM9Jxm94T — Vijay Shekhar Sharma (@vijayshekhar) February 19, 2024 × The company's proactive communication extends to directing users to consult RBI's FAQs, specifically numbers 21 and 22, which provide clarity on the operational status of Paytm QR codes, Soundbox, and card machines. The reassurance from Paytm comes in the wake of regulatory actions imposed by the RBI, including restrictions on Paytm Payments Bank, citing persistent non-compliances and supervisory concerns. Despite these challenges, Paytm shares surged by 5 per cent following its partnership with Axis Bank for merchant payment settlements. The RBI's decision to extend the deadline for Paytm Payments Bank operations until March 15 offers a temporary reprieve, allowing the company to navigate regulatory adjustments. However, the regulatory impact extends beyond banking operations, with Paytm Payments Bank excluded from the National Highway Authority of India's list of authorised banks for the FASTag service.

Paytm assures users: QR Code, Soundbox to remain operational amid regulatory scrutiny

<o:p></o:p>

India's road tolling authority has excluded Paytm Payments Bank from its list of 32 authorised banks for purchasing FASTags, signalling significant changes for the estimated 20 million Paytm FASTag users. <o:p></o:p>

FASTags refers to an electronic toll collection system in India which was introduced by the National Highways Authority of India (NHAI).<o:p></o:p>

The move follows regulatory restrictions imposed on Paytm Payments Bank by the Reserve Bank of India (RBI), which will result in Paytm FASTags becoming non-operative after February 29.<o:p></o:p>

This development implies that millions of Paytm FASTag users will need to acquire new RFID (Radio Frequency Identification) stickers to ensure seamless toll road access. <o:p></o:p>

Despite Paytm's market share, no banks are currently willing to accommodate Paytm FASTag users, leaving them with the option to switch to FASTags issued by other authorised banks.<o:p></o:p>

While the RBI's decision to restrict Paytm Payments Bank's operations remains unchanged, IHMCL emphasises the importance of facilitating a smooth transition for Paytm FASTag users to alternative bank-issued FASTags.<o:p></o:p>

With over 70 million FASTag users across India, ensuring minimal inconvenience during this transition period is paramount. <o:p></o:p>

According to a Times of India report, the authorised banks for issuing FASTags include major financial institutions such as Airtel Payments Bank, Axis Bank, HDFC Bank, and State Bank of India, among others.

India's road tolling authority has excluded Paytm Payments Bank from its list of 32 authorised banks for purchasing FASTags, signalling significant changes for the estimated 20 million Paytm FASTag users.

India's road tolling authority has excluded Paytm Payments Bank from its list of 32 authorised banks for purchasing FASTags, signalling significant changes for the estimated 20 million Paytm FASTag users. FASTags refers to an electronic toll collection system in India which was introduced by the National Highways Authority of India (NHAI). The move follows regulatory restrictions imposed on Paytm Payments Bank by the Reserve Bank of India (RBI), which will result in Paytm FASTags becoming non-operative after February 29. This development implies that millions of Paytm FASTag users will need to acquire new RFID (Radio Frequency Identification) stickers to ensure seamless toll road access. Despite Paytm's market share, no banks are currently willing to accommodate Paytm FASTag users, leaving them with the option to switch to FASTags issued by other authorised banks. While the RBI's decision to restrict Paytm Payments Bank's operations remains unchanged, IHMCL emphasises the importance of facilitating a smooth transition for Paytm FASTag users to alternative bank-issued FASTags. With over 70 million FASTag users across India, ensuring minimal inconvenience during this transition period is paramount. According to a Times of India report, the authorised banks for issuing FASTags include major financial institutions such as Airtel Payments Bank, Axis Bank, HDFC Bank, and State Bank of India, among others.

Paytm Payments Bank excluded from authorised banks list for FASTags: Report

India retail inflation is at a 3-month low. In January, retail inflation rate dropped to 5.10%, down from 5.69% in December. This figure is in line with the 5.09% forecast by economists.

India's inflation eases to 3-month low

Indian central bank, the Reserve Bank of India (RBI), has asked banks in the country to ditch the traditional SMS-based second-factor authentication system and seek safer, advanced alternatives. As per media reports, while there are multiple options available, all include the use of a user’s mobile phone for authentication.

The RBI issued a detailed statement on Development and Regulatory Policies on February 8 on its website but did not lay out instructions in this regard as of now.

<h2>The current OTP-based regime</h2>

Currently, whenever we conduct a digital financial transaction, the fintech firm or bank typically sends an OTP to the mobile number linked to the account as an extra layer of authentication. The transaction can only proceed after entering this OTP, ensuring the security of bank accounts and preventing unauthorised use of financial data.

The RBI has not indicated any intention to completely eliminate the authentication process, but rather to streamline the AFA (additional factor of authentication) process.

Watch:&nbsp;Paytm Bank's Crisis: Traders urged to ditch Paytm in wake of RBI's decision

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“Though RBI has not prescribed any particular AFA, the payments ecosystem has largely adopted SMS-based one-time password (OTP). With innovations in technology, alternative authentication mechanisms have emerged in recent years. To facilitate the use of such mechanisms for digital security, it is proposed to adopt a principle-based "Framework for authentication of digital payment transactions," reads the statement.

Also read:&nbsp;<a data-jsarwt="1" data-usg="AOvVaw35jmPoiykBKk45inSuoXiw" data-ved="2ahUKEwjpjPyUz6OEAxW-T2wGHaj1D14QxfQBKAB6BAgPEAE" href="https://www.wionews.com/business-economy/paytm-ceo-advised-by-government-no-intervention-in-rbi-clampdown-687746" jsname="YKoRaf">Paytm CEO Advised by Government: No intervention in RBI clampdown</a>

In the same context, the RBI has suggested simplifying the onboarding process for Aadhaar-enabled payment system (AePS) touchpoint operators, to be supervised by banks. Additionally, they will consider additional requirements for managing fraud risks.

<h2>Safer OTP-less alternative</h2>

Route Mobile's latest initiative, TruSense, has introduced an innovative OTP-less authentication system. This method allows service providers to establish direct data connections with users' devices, facilitating identification and token exchange without requiring OTP input from users.

David Vigar, Executive Vice President overseeing digital identity, warned against relying solely on biometrics for authentication. He highlighted the risks posed by advancements in artificial intelligence, particularly the potential for deepfake technology to bypass facial recognition systems.

(With inputs from agencies)

Indian central bank, the Reserve Bank of India (RBI), has asked banks in the country to ditch the traditional SMS-based second-factor authentication system and seek safer, advanced alternatives.

Indian central bank, the Reserve Bank of India (RBI), has asked banks in the country to ditch the traditional SMS-based second-factor authentication system and seek safer, advanced alternatives. As per media reports, while there are multiple options available, all include the use of a user’s mobile phone for authentication. The RBI issued a detailed statement on Development and Regulatory Policies on February 8 on its website but did not lay out instructions in this regard as of now. The current OTP-based regime Currently, whenever we conduct a digital financial transaction, the fintech firm or bank typically sends an OTP to the mobile number linked to the account as an extra layer of authentication. The transaction can only proceed after entering this OTP, ensuring the security of bank accounts and preventing unauthorised use of financial data. The RBI has not indicated any intention to completely eliminate the authentication process, but rather to streamline the AFA (additional factor of authentication) process. Watch: Paytm Bank's Crisis: Traders urged to ditch Paytm in wake of RBI's decision × “Though RBI has not prescribed any particular AFA, the payments ecosystem has largely adopted SMS-based one-time password (OTP). With innovations in technology, alternative authentication mechanisms have emerged in recent years. To facilitate the use of such mechanisms for digital security, it is proposed to adopt a principle-based "Framework for authentication of digital payment transactions," reads the statement. Also read: Paytm CEO Advised by Government: No intervention in RBI clampdown In the same context, the RBI has suggested simplifying the onboarding process for Aadhaar-enabled payment system (AePS) touchpoint operators, to be supervised by banks. Additionally, they will consider additional requirements for managing fraud risks. Safer OTP-less alternative Route Mobile's latest initiative, TruSense, has introduced an innovative OTP-less authentication system. This method allows service providers to establish direct data connections with users' devices, facilitating identification and token exchange without requiring OTP input from users. David Vigar, Executive Vice President overseeing digital identity, warned against relying solely on biometrics for authentication. He highlighted the risks posed by advancements in artificial intelligence, particularly the potential for deepfake technology to bypass facial recognition systems. (With inputs from agencies)

India: RBI asks banks to stop relying on OTP-based authentication, look for safer alternatives

Persistent non-compliance by Paytm with the regulatory guidelines despite nudges over a period of time ultimately led to the stern action against the fintech, the RBI said on Thursday and also made it clear that there are no systemic worries. 
 
Without disclosing specific details of what led to the action against the fintech, Governor Shaktikanta Das made it clear that Paytm's lack of compliance to regulations does not pose a systemic threat. 
 
"There is no worry about the system at the moment. Here we are talking about a specific institution, a specific payment bank," Das told reporters at the central bank headquarters here at the customary post-policy media briefing.

Deputy Governor Swaminathan J said the January 31 action against Paytm Payments Bank, wherein the RBI has barred it from onbaording new customers, and asked to stop services related to deposits, prepaid instruments and e-wallet after February 29, was the culmination of a long series of bilateral engagement.

ALSO READ |&nbsp;<a href="https://www.wionews.com/business-economy/paytm-faces-regulatory-hurdles-in-india-while-walmart-google-seize-market-opportunity-687706">Paytm faces regulatory hurdles in India while Walmart, Google seize market opportunity</a> 
 
"This is a supervisory action on a regulated entity for persistent non-compliance. Such supervisory actions are invariably preceded by months and at times years of bilateral engagement, where we not only point out deficiencies but also provide more than adequate time for them to take corrective action," the commercial banker-turned-regulator said. 
 
Das said it starts with "nudges" from the regulator for corrective action and sometimes the RBI may give more than sufficient time to an entity to comply, and it is lack of compliance which ultimately leads to the business restrictions order. 
 
The proportionality aspect is taken into consideration before imposing any restriction, Das said, adding, "all our actions are in the best interest of systemic stability and protection of depositors or customers' interest.

"These aspects cannot be compromised. Individual entities should be mindful of these aspects for their long-term success."

Earlier in the day, Das' statement stressed on "good governance, robust risk management, sound compliance culture and protection of customers' interest" being of paramount importance for the Reserve Bank.

Das said there are a lot of questions and concerns in the minds of people, and the Reserve Bank will be coming out with a detailed FAQ (frequently asked questions) next week which will make things clear.

When asked about the decision to impose the rather strong action of business restrictions, without going for other alternatives like appointing a director on the board as it has done in some cases in the recent past, Swaminathan said an "one size fits all kind of solution may not work in such situations".

ALSO READ |&nbsp;<a href="https://www.wionews.com/business-economy/explained-rbi-orders-paytms-banking-arm-to-stop-fresh-business-what-happens-next-685969">Explained | RBI orders Paytm’s banking arm to stop fresh business. What happens next?</a>

"As a regulator, it's incumbent upon us to protect the interests of the ultimate consumer and thereby protecting the stability of the financial system," Swaminathan said.

He was tightlipped about the future course of action, but promised that customers' inconvenience will be minimized.

When asked about the reasons for the action, specifically if it has been triggered by the ownership structure at Paytm or if it is limited to KYC concerns, Das declined to reveal anything about the "bilateral engagements".

"The regulations are robust. It is not a case where there was a regulatory deficiency or there was a regulatory correction required. It's an issue of compliance, compliance with various parameters," he said.

Persistent non-compliance by Paytm with the regulatory guidelines despite nudges over a period of time ultimately led to the stern action against the fintech, the RBI said on Thursday and also made it clear that there are no systemic worries.

Persistent non-compliance by Paytm with the regulatory guidelines despite nudges over a period of time ultimately led to the stern action against the fintech, the RBI said on Thursday and also made it clear that there are no systemic worries. Without disclosing specific details of what led to the action against the fintech, Governor Shaktikanta Das made it clear that Paytm's lack of compliance to regulations does not pose a systemic threat. "There is no worry about the system at the moment. Here we are talking about a specific institution, a specific payment bank," Das told reporters at the central bank headquarters here at the customary post-policy media briefing. Deputy Governor Swaminathan J said the January 31 action against Paytm Payments Bank, wherein the RBI has barred it from onbaording new customers, and asked to stop services related to deposits, prepaid instruments and e-wallet after February 29, was the culmination of a long series of bilateral engagement. ALSO READ | Paytm faces regulatory hurdles in India while Walmart, Google seize market opportunity "This is a supervisory action on a regulated entity for persistent non-compliance. Such supervisory actions are invariably preceded by months and at times years of bilateral engagement, where we not only point out deficiencies but also provide more than adequate time for them to take corrective action," the commercial banker-turned-regulator said. Das said it starts with "nudges" from the regulator for corrective action and sometimes the RBI may give more than sufficient time to an entity to comply, and it is lack of compliance which ultimately leads to the business restrictions order. The proportionality aspect is taken into consideration before imposing any restriction, Das said, adding, "all our actions are in the best interest of systemic stability and protection of depositors or customers' interest. "These aspects cannot be compromised. Individual entities should be mindful of these aspects for their long-term success." Earlier in the day, Das' statement stressed on "good governance, robust risk management, sound compliance culture and protection of customers' interest" being of paramount importance for the Reserve Bank. Das said there are a lot of questions and concerns in the minds of people, and the Reserve Bank will be coming out with a detailed FAQ (frequently asked questions) next week which will make things clear. When asked about the decision to impose the rather strong action of business restrictions, without going for other alternatives like appointing a director on the board as it has done in some cases in the recent past, Swaminathan said an "one size fits all kind of solution may not work in such situations". ALSO READ | Explained | RBI orders Paytm’s banking arm to stop fresh business. What happens next? "As a regulator, it's incumbent upon us to protect the interests of the ultimate consumer and thereby protecting the stability of the financial system," Swaminathan said. He was tightlipped about the future course of action, but promised that customers' inconvenience will be minimized. When asked about the reasons for the action, specifically if it has been triggered by the ownership structure at Paytm or if it is limited to KYC concerns, Das declined to reveal anything about the "bilateral engagements". "The regulations are robust. It is not a case where there was a regulatory deficiency or there was a regulatory correction required. It's an issue of compliance, compliance with various parameters," he said.

Persistent non-compliance led to Paytm action, no systemic worries: RBI

<a name="OLE_LINK1"></a>The Reserve Bank of India (RBI) has opted to maintain the status quo on interest rates, keeping the repo rates unchanged at 6.5 per cent, as announced by Governor Shaktikanta Das following the Monetary Policy Committee (MPC) meeting on Thursday. <o:p></o:p>

This decision marks a continuation of the RBI's approach over the past year, where the repo rate has remained at 6.5 per cent since the last increase in February 2023, aimed at curbing inflation influenced by global factors.

"This decision underscores the central bank's cautious approach, balancing economic stability, and inflationary concerns in a volatile pre-election environment," Adhil Shetty, CEO of Bankbazaar.com said.

Shetty mentioned that in the current economic landscape, there is persistent concern about food inflation, whereas core inflation has exhibited signs of softening, prompting a positive response from the market.

He further noted that globally, growth remains stable, with indicators suggesting recovery in FY24.

However, Shetty also pointed out that central banks are exercising caution, prioritising financial stability before committing to major rate cuts.

On the subject of loans, Shetty noted, "While home buyers in India had hoped for rate reductions to bolster their purchasing confidence, the RBI's decision to maintain interest rates, albeit on the higher side, ensures loans remain relatively stable. Despite this, the residential real estate sector in India continues to show resilience, with an uptick in property purchases."

In addition to the interest rate decision, the RBI revised the GDP growth rate for the fiscal year 2023-24, indicating an upward adjustment from 7 per cent to 7.3 per cent. <o:p></o:p>

The central bank also provided insights into its inflation outlook, projecting consumer inflation at 5.4 per cent for the current financial year (2023-24) and further anticipating a decrease to 4.5 per cent in the upcoming fiscal year (2024-25).

Despite a decline in retail inflation from its peak of 7.44 per cent in July 2023, the current rate stands at 5.69 per cent as of December 2023.

Shetty stated that rural demand remains robust, supported by the extension of welfare schemes, which further bolsters economic activity.

Additionally, he&nbsp;mentioned that looking ahead, the projected real GDP growth for FY 2024-2025 stands at a promising 7 per cent, signalling optimism for sustained economic expansion.

<o:p></o:p><o:p></o:p>

While this remains elevated, it falls within the Reserve Bank's comfort zone of 4-6 per cent.<o:p></o:p>

The Reserve Bank of India (RBI) has opted to maintain the status quo on interest rates, keeping the repo rates unchanged at 6.5 per cent, as announced by Governor Shaktikanta Das following the Monetary Policy Committee (MPC) meeting on Thursday.

The Reserve Bank of India (RBI) has opted to maintain the status quo on interest rates, keeping the repo rates unchanged at 6.5 per cent, as announced by Governor Shaktikanta Das following the Monetary Policy Committee (MPC) meeting on Thursday. This decision marks a continuation of the RBI's approach over the past year, where the repo rate has remained at 6.5 per cent since the last increase in February 2023, aimed at curbing inflation influenced by global factors. "This decision underscores the central bank's cautious approach, balancing economic stability, and inflationary concerns in a volatile pre-election environment," Adhil Shetty, CEO of Bankbazaar.com said. Shetty mentioned that in the current economic landscape, there is persistent concern about food inflation, whereas core inflation has exhibited signs of softening, prompting a positive response from the market. He further noted that globally, growth remains stable, with indicators suggesting recovery in FY24. However, Shetty also pointed out that central banks are exercising caution, prioritising financial stability before committing to major rate cuts. On the subject of loans, Shetty noted, "While home buyers in India had hoped for rate reductions to bolster their purchasing confidence, the RBI's decision to maintain interest rates, albeit on the higher side, ensures loans remain relatively stable. Despite this, the residential real estate sector in India continues to show resilience, with an uptick in property purchases." In addition to the interest rate decision, the RBI revised the GDP growth rate for the fiscal year 2023-24, indicating an upward adjustment from 7 per cent to 7.3 per cent. The central bank also provided insights into its inflation outlook, projecting consumer inflation at 5.4 per cent for the current financial year (2023-24) and further anticipating a decrease to 4.5 per cent in the upcoming fiscal year (2024-25). Despite a decline in retail inflation from its peak of 7.44 per cent in July 2023, the current rate stands at 5.69 per cent as of December 2023. Shetty stated that rural demand remains robust, supported by the extension of welfare schemes, which further bolsters economic activity. Additionally, he mentioned that looking ahead, the projected real GDP growth for FY 2024-2025 stands at a promising 7 per cent, signalling optimism for sustained economic expansion. While this remains elevated, it falls within the Reserve Bank's comfort zone of 4-6 per cent.

RBI keeps interest rates steady at 6.5pc, revises GDP growth outlook for 2023-24

Following the Reserve Bank of India's (RBI) recent restrictions on Paytm, the company's CEO, Vijay Shekhar Sharma, met with Finance Minister Nirmala Sitharaman to discuss the matter.<o:p></o:p>

However, the Finance Ministry confirmed that the government would have no role to play in the RBI's actions.<o:p></o:p>

The meeting with the Finance Minister emphasised that Paytm needs to resolve the issues directly with the RBI and adhere to the regulatory guidelines set by the central bank.<o:p></o:p>

Paytm has been grappling with regulatory challenges after the RBI directed the company to halt its popular digital wallet, deposits, and credit products. <o:p></o:p>

Paytm's shares experienced a significant dip of over 40 per cent following the RBI's directives. <o:p></o:p>

The market sentiment, however, showed signs of recovery this Tuesday. <o:p></o:p>

While the government made it clear that it would not intervene in the RBI's clampdown, Vijay Shekhar Sharma also held discussions with RBI officials to address the regulatory concerns raised by the central bank. <o:p></o:p>

The RBI's restrictions included barring Paytm Payments Bank Ltd from accepting deposits or facilitating credit transactions after February 29, affecting various customer accounts and prepaid instruments linked to those accounts, such as wallets and FASTags.<o:p></o:p>

The RBI's actions extended to terminating the nodal accounts of Paytm's parent company, One97 Communications Ltd, and Paytm Payments Bank Ltd. <o:p></o:p>

Despite these challenges, Paytm Payments Bank sought to reassure its customers, assuring them that their funds are secure and that they can continue to utilise balances from their accounts without any limits, as specified in the RBI order. <o:p></o:p>

However, after February 29, depositing money into accounts or wallets will no longer be possible.<o:p></o:p>

Following the Reserve Bank of India's (RBI) recent restrictions on Paytm, the company's CEO, Vijay Shekhar Sharma, met with Finance Minister Nirmala Sitharaman to discuss the matter.

Following the Reserve Bank of India's (RBI) recent restrictions on Paytm, the company's CEO, Vijay Shekhar Sharma, met with Finance Minister Nirmala Sitharaman to discuss the matter. However, the Finance Ministry confirmed that the government would have no role to play in the RBI's actions. The meeting with the Finance Minister emphasised that Paytm needs to resolve the issues directly with the RBI and adhere to the regulatory guidelines set by the central bank. Paytm has been grappling with regulatory challenges after the RBI directed the company to halt its popular digital wallet, deposits, and credit products. Paytm's shares experienced a significant dip of over 40 per cent following the RBI's directives. The market sentiment, however, showed signs of recovery this Tuesday. While the government made it clear that it would not intervene in the RBI's clampdown, Vijay Shekhar Sharma also held discussions with RBI officials to address the regulatory concerns raised by the central bank. The RBI's restrictions included barring Paytm Payments Bank Ltd from accepting deposits or facilitating credit transactions after February 29, affecting various customer accounts and prepaid instruments linked to those accounts, such as wallets and FASTags. The RBI's actions extended to terminating the nodal accounts of Paytm's parent company, One97 Communications Ltd, and Paytm Payments Bank Ltd. Despite these challenges, Paytm Payments Bank sought to reassure its customers, assuring them that their funds are secure and that they can continue to utilise balances from their accounts without any limits, as specified in the RBI order. However, after February 29, depositing money into accounts or wallets will no longer be possible.

Paytm CEO Advised by Government: No intervention in RBI clampdown

The Indian fintech pioneer Paytm has been hit hard by the Reserve Bank of India for its “persistent non-compliance” with the central bank’s guidelines. Paytm had already been under the scanner of RBI, but the January 30 decision by the central bank has hit the fintech startup hard.&nbsp;

The RBI imposed a set of restrictions on Paytm Payments Bank that will come into effect on February 29. The new rules will affect new deposits and credit transactions on the platforms. It will also restrict new users from creating an account on the platform.&nbsp;

Also Read |&nbsp;<a href="https://www.wionews.com/india-news/aurangzeb-razed-mathura-krishna-janmabhoomi-temple-says-asi-in-rti-reply-687437">Aurangzeb razed Mathura Krishna Janmabhoomi temple, says ASI in RTI reply</a>

From what RBI's press release on the matter suggests, the Paytm wallets of all users will be affected, and so will be Paytm Fastags and mobility cards.&nbsp;

Nowadays if you open Paytm, the latest message on the top says,&nbsp;“Your Paytm app is working and will keep working as usual beyond Feb 29”. Paytm Founder and CEO Vijay Shekhar Sharma also said in a tweet that the app will keep working after Feb 29.&nbsp;

<div class="ui-state-default" contenteditable="false">
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<blockquote class="twitter-tweet">
To every Paytmer, 
Your favourite app is working, will keep working beyond 29 February as usual. 
I with every Paytm team member salute you for your relentless support. For every challenge, there is a solution and we are sincerely committed to serve our nation in full…
— Vijay Shekhar Sharma (@vijayshekhar) <a href="https://twitter.com/vijayshekhar/status/1753261279324643602?ref_src=twsrc%5Etfw">February 2, 2024</a></blockquote>
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Here’s what will be affected and what will keep working:

<h2>Paytm app: What will be affected?</h2>

After February 29, no more deposits, credit transactions, top-ups, or withdrawals will be permitted in any customer accounts, prepaid cards, wallets, FASTags, National Common Mobility Cards (NCMC) cards, etc.&nbsp;

The users can continue to use their existing balance on the Paytm FASTag but will be able to further recharge it.

Also Read |&nbsp;<a href="https://www.wionews.com/india-news/india-energy-week-pm-modi-draws-focus-on-alternate-fuels-687448">India Energy Week: PM Modi draws focus on alternate fuels</a>

Similarly, with the Paytm Payments Bank wallet, users can continue to use the wallet but they will not be able to add the money to the wallet after February 29. However, there is no restriction on the usage of the existing balance from the wallet after the due date.&nbsp;

<h3>Offerings like Paytm QR, Paytm Soundbox, Paytm Card Machine</h3>

As per Paytm, the merchant services will not be impacted by RBI’s latest change in rules. Paytm’s offline merchant payment network offerings like Paytm QR, Paytm Soundbox, and Paytm Card Machine, will continue as usual, where it can onboard new offline merchants as well.

<h3>UPI Payments</h3>

All UPI services will continue as usual without any interruption, said Paytm in its official blog.&nbsp;

Also Read |&nbsp;<a href="https://www.wionews.com/india-news/video-madhya-pradesh-firecracker-factory-blast-kills-at-least-seven-injures-dozens-687451">Video: 11 killed, 60 injured in blast at firecracker factory in Harda, Madhya Pradesh</a>

Clarifying further, CEO Sharma assured: “On UPI acquiring, it needs guidance from both the NPCI and RBI and the discussions have started. So what and how will they appropriately guide us, we will adhere to that.”

<h3>Paytm Mutual Funds and Paytm Money stock accounts</h3>

As per Paytm, all the investments by users with Paytm Money are safe and the recent RBI directives on the Paytm Payments Bank won’t affect Paytm Money Ltd (PML) operations or their investments in Equity, Mutual Funds, or NPS. Paytm Money Limited is SEBI-regulated and fully compliant.

Also Read |&nbsp;<a href="https://www.wionews.com/technology/bharat-mobility-global-expo-2024-sustainability-and-growth-at-its-core-687463">Bharat Mobility Global Expo 2024: Sustainability and growth at its core</a>

<h3>Other services- Movie/Travel ticket booking and more</h3>

All other services on the Paytm app will remain unaffected and users can continue to use, Paytm as usual, now and beyond Feb 29.&nbsp;

(With inputs from agencies) 
&nbsp;

The Indian fintech pioneer Paytm has been hit hard by the Reserve Bank of India for its “persistent non-compliance” with the central bank’s guidelines. Paytm had already been under the scanner of RBI, but the January 30 decision by the central bank has hit the fintech startup hard.

The Indian fintech pioneer Paytm has been hit hard by the Reserve Bank of India for its “persistent non-compliance” with the central bank’s guidelines. Paytm had already been under the scanner of RBI, but the January 30 decision by the central bank has hit the fintech startup hard. The RBI imposed a set of restrictions on Paytm Payments Bank that will come into effect on February 29. The new rules will affect new deposits and credit transactions on the platforms. It will also restrict new users from creating an account on the platform. Also Read | Aurangzeb razed Mathura Krishna Janmabhoomi temple, says ASI in RTI reply From what RBI's press release on the matter suggests, the Paytm wallets of all users will be affected, and so will be Paytm Fastags and mobility cards. Nowadays if you open Paytm, the latest message on the top says, “Your Paytm app is working and will keep working as usual beyond Feb 29”. Paytm Founder and CEO Vijay Shekhar Sharma also said in a tweet that the app will keep working after Feb 29. To every Paytmer, Your favourite app is working, will keep working beyond 29 February as usual. I with every Paytm team member salute you for your relentless support. For every challenge, there is a solution and we are sincerely committed to serve our nation in full… — Vijay Shekhar Sharma (@vijayshekhar) February 2, 2024 × Here’s what will be affected and what will keep working: Paytm app: What will be affected? After February 29, no more deposits, credit transactions, top-ups, or withdrawals will be permitted in any customer accounts, prepaid cards, wallets, FASTags, National Common Mobility Cards (NCMC) cards, etc. The users can continue to use their existing balance on the Paytm FASTag but will be able to further recharge it. Also Read | India Energy Week: PM Modi draws focus on alternate fuels Similarly, with the Paytm Payments Bank wallet, users can continue to use the wallet but they will not be able to add the money to the wallet after February 29. However, there is no restriction on the usage of the existing balance from the wallet after the due date. Offerings like Paytm QR, Paytm Soundbox, Paytm Card Machine As per Paytm, the merchant services will not be impacted by RBI’s latest change in rules. Paytm’s offline merchant payment network offerings like Paytm QR, Paytm Soundbox, and Paytm Card Machine, will continue as usual, where it can onboard new offline merchants as well. UPI Payments All UPI services will continue as usual without any interruption, said Paytm in its official blog. Also Read | Video: 11 killed, 60 injured in blast at firecracker factory in Harda, Madhya Pradesh Clarifying further, CEO Sharma assured: “On UPI acquiring, it needs guidance from both the NPCI and RBI and the discussions have started. So what and how will they appropriately guide us, we will adhere to that.” Paytm Mutual Funds and Paytm Money stock accounts As per Paytm, all the investments by users with Paytm Money are safe and the recent RBI directives on the Paytm Payments Bank won’t affect Paytm Money Ltd (PML) operations or their investments in Equity, Mutual Funds, or NPS. Paytm Money Limited is SEBI-regulated and fully compliant. Also Read | Bharat Mobility Global Expo 2024: Sustainability and growth at its core Other services- Movie/Travel ticket booking and more All other services on the Paytm app will remain unaffected and users can continue to use, Paytm as usual, now and beyond Feb 29. (With inputs from agencies)

Will Paytm app work after Feb 29? What will happen to Paytm QR, soundbox, UPI payments? All you need to know

Paytm bank's crisis continues, with an industry body asking merchants to look beyond the digital banking giant for online transactions. This comes after the reserve bank of India ordered a halt to most operations of Paytm's banking arm. Watch to know more!

Paytm Bank's Crisis: Supervisory concerns lead to RBI crackdown on Paytm Payment's bank

The Reserve Bank of India's action against Paytm payments bank has shaken India's Fintech industry. The central bank's action has raised concerns about regulatory compliance in the industry.

Fintech sector worried in aftermath

Paytm’s stock freefall has got the investors interested. This comes after the Reserve Bank of India took decisive action against Paytm payments bank, imposing stringent restrictions that will significantly impact its services.

Paytm faces setback with RBI restrictions on lending business

The Central Bank of India has imposed new restrictions on Paytm. The curbs will be effective from February 29th. What do they entail? Should you as a user be worried?

Gravitas | New Paytm restrictions explained | How will the curbs affect you?

India's central bank - the Reserve Bank of India (RBI) - on Wednesday (Jan 31) ordered Paytm Payments Bank (the banking arm of Paytm) to stop accepting fresh deposits in its accounts or popular wallets from March.

India's central bank - the Reserve Bank of India (RBI) - on Wednesday (Jan 31) ordered Paytm Payments Bank (the banking arm of Paytm) to stop accepting fresh deposits in its accounts or popular wallets from March. In a statement, the RBI said that Paytm Payments Bank will not be allowed to take further deposits in any customer accounts after Feb 29, and no credit transactions will be allowed either, including via wallets. Paytm Payments Bank is an associate of One 97 Communications. On Thursday, Paytm said in a statement that it will take steps immediately to comply with the central bank's directions. One 97 will cease working with Paytm Payments Bank and start working only with other banks, it said. The RBI's decision is a major blow to Paytm - which is one of India's largest payment firms. What is Paytm Payments Bank? Founded in 2017, Paytm Payments Bank is 49 per cent owned by Paytm and 51 per cent owned by Paytm's Chief Executive Officer (CEO) and founder Vijay Shekhar Sharma. The payments bank acts as a key banking partner for Paytm. For example, funds deposited in Paytm's popular digital wallets are held with Paytm Payments Bank. The payments bank may accept small deposits of up to $2,400 (around Rs 2,00,000) but is not allowed to lend. Deposits must be parked in government securities or deposits at other banks. Also read | Paytm lays off more than 1,000 employees across various departments: Report Citing Macquarie Capital, the news agency Reuters reported that the bank houses all of the parent's 330 million wallet accounts, meaning money held in them is deposited with the payments bank. The actions taken by the RBI are under a provision of banking regulations that allow the regulator to give directions to a bank in the interest of depositors. What led to the RBI's action? In its statement, the RBI said on Wednesday, "The Comprehensive System Audit report and subsequent compliance validation report of the external auditors revealed persistent non-compliances and continued material supervisory concerns in the bank, warranting further supervisory action." Issuing directions to the bank, the RBI said, "No further deposits or credit transactions or top-ups shall be allowed in any customer accounts, prepaid instruments, wallets, FASTags, NCMC cards, etc. after Feb 29, 2024, other than any interest, cashback, or refunds which may be credited anytime." "Withdrawal or utilisation of balances by its customers from their accounts including savings bank accounts, current accounts, prepaid instruments, FASTags, National Common Mobility Cards, etc. are to be permitted without any restrictions, up to their available balance," it added. In March last year too, Paytm Payments Bank was restricted from adding customers but continued doing business with existing customers. However, it has now been told to wind down most of its businesses this month. Paytm shares plunge post RBI's action Agreeing to comply with the RBI's directions, Paytm said on Thursday it expected a worse-case impact of Rs 3 billion to Rs 5 billion to its annual earnings before interest, tax, depreciation, and amortisation (EBITDA). Following the central bank's move, Paytm shares plunged the daily limit of 20 per cent on Thursday which could be a precursor to its license being cancelled, a source told Reuters. The source said that RBI's action (against Paytm) followed years of non-compliance with central bank rules, including on customer due diligence, use of funds, and technology infrastructure. Also watch | Paytm Payments Bank in limbo: India's RBI hits Paytm Payments Bank × Paytm's stock is trading at less than one-third of its listing price of Rs 1,950, despite having climbed 20 per cent last year. With Thursday's plunge, the shares are down more than 4 per cent this year, Reuters reported. Shekhar Sharma lost about $233 million on Thursday as the shares cratered. Paytm was founded by Sharma in 2010 and rose to fame after Uber made it a quick payment option in India. Paytm saw an unprecedented demand in 2016 after the Modi government introduced demonetisation, which led to a major shift from cash to digital payments. The impact So what would be the impact of RBI's decision? According to Jefferies, Paytm's business impact will largely come from reputation concerns arising from governance or compliance, and the path to resolution will be from better compliance with regulations. Jefferies further downgraded Paytm's stock to "underperform" from "buy", slashing its target price to Rs 500 from Rs 1,050 and saying regulatory and reputational issues could affect profitability. Meanwhile, JPMorgan cut Paytm's rating to "underweight" from "neutral", lowering its target price by one-third to Rs 600. "While we don't believe that the order is an end of the road for Paytm, it materially impacts near-term growth, profitability forces another pivot and necessitates it to restore the credibility of the durability of the business," JPMorgan analysts said. (With inputs from agencies)

Explained | RBI orders Paytm’s banking arm to stop fresh business. What happens next?

As of January 31, the Reserve Bank of India (RBI) has imposed significant business restrictions on Paytm Payments Bank. This includes barring the acceptance of fresh deposits and conducting credit transactions after February 29. Moreover, on March 11, the RBI extended the restrictions by prohibiting Paytm Payments Bank from onboarding new customers.

<h2>Supervisory concerns and non-compliances</h2>

The RBI's action was prompted by a Comprehensive System Audit report, followed by a compliance validation report from external auditors.

These reports highlighted persistent non-compliances and ongoing supervisory concerns within the bank. The severity of these issues necessitated additional supervisory measures.

Effective from February 29, 2024, Paytm Payments Bank is restricted from accepting further deposits, conducting credit transactions, or enabling top-ups in customer accounts, prepaid instruments, wallets, FASTags, and NCMC cards.

<a href="https://www.wionews.com/business-economy/budget-2024-all-eyes-on-capex-685506">Also read |&nbsp;Budget 2024: All eyes on the government's capex as India pushes for big-ticket infrastructure</a>

However, allowances are made for interest, cashbacks, or refunds that may be credited at any time. The withdrawal or utilisation of balances by customers, across various accounts and instruments, remains permissible without restrictions, up to their available balance.

Post-February 29, 2024, the bank is barred from offering any banking services, excluding withdrawals and balance utilisation. This includes fund transfers encompassing services such as AEPS, IMPS, BBPOU, and UPI facilities.

Also watch |&nbsp;India: Delhi witnessed its coldest January in 13 years: Weather department

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/india-delhi-witnessed-its-coldest-january-in-13-years-weather-department-685519/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

The RBI has mandated the prompt termination of Nodal Accounts associated with One97 Communications Ltd and Paytm Payments Services Ltd. This directive is to be executed expeditiously, with the deadline set for no later than February 29, 2024.

(With inputs from agencies)

As of January 31, the Reserve Bank of India (RBI) has imposed significant business restrictions on Paytm Payments Bank. This includes barring the acceptance of fresh deposits and conducting credit transactions after February 29.

As of January 31, the Reserve Bank of India (RBI) has imposed significant business restrictions on Paytm Payments Bank. This includes barring the acceptance of fresh deposits and conducting credit transactions after February 29. Moreover, on March 11, the RBI extended the restrictions by prohibiting Paytm Payments Bank from onboarding new customers. Supervisory concerns and non-compliances The RBI's action was prompted by a Comprehensive System Audit report, followed by a compliance validation report from external auditors. These reports highlighted persistent non-compliances and ongoing supervisory concerns within the bank. The severity of these issues necessitated additional supervisory measures. Effective from February 29, 2024, Paytm Payments Bank is restricted from accepting further deposits, conducting credit transactions, or enabling top-ups in customer accounts, prepaid instruments, wallets, FASTags, and NCMC cards. Also read | Budget 2024: All eyes on the government's capex as India pushes for big-ticket infrastructure However, allowances are made for interest, cashbacks, or refunds that may be credited at any time. The withdrawal or utilisation of balances by customers, across various accounts and instruments, remains permissible without restrictions, up to their available balance. Post-February 29, 2024, the bank is barred from offering any banking services, excluding withdrawals and balance utilisation. This includes fund transfers encompassing services such as AEPS, IMPS, BBPOU, and UPI facilities. Also watch | India: Delhi witnessed its coldest January in 13 years: Weather department The RBI has mandated the prompt termination of Nodal Accounts associated with One97 Communications Ltd and Paytm Payments Services Ltd. This directive is to be executed expeditiously, with the deadline set for no later than February 29, 2024. (With inputs from agencies)

India: RBI enforces major business restrictions on Paytm Payments Bank

UPI has been one of India's great success stories, well it is now among the top payment methods in the country. To improve user experience - the Reserve Bank of India - has announced new UPI updates and changes.

UPI transaction: New regulations and changes, Inactive UPI accounts to be deactivated

Reserve Bank Of India Governor Shaktikanta Das has expressed confidence in India's economic trajectory. Highlighting a recovery in the banking sector and international trust in India's stability, Das emphasised the opportune moment for businesses to invest in the Indian ecosystem.

Indian rupee to become global currency?

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