Trending

Stories

Paytm’s Businesses Won’t Be Impacted by Upcoming Regulations in Digital Payments: Analysts

Must Read

The central bank’s recent decision to create a discussion paper on digital payment charges has left a murmur in the markets, especially on its potential impact on banks and digital payment players like Paytm. However, analysts said on Monday that the recently-listed Paytm is unlikely to get impacted by these charges.

“The digital payments ecosystem has rapidly grown in the past five years and has propelled India to the top of the global rankings. The sector has witnessed high competition with the influx of new players and may lead to divergence from best practices in the quest for margins and market share. The upcoming regulations, therefore, will keep the consumers’ interest at the epicentre and ensure a structured and responsible growth of the sector, going forward”, said Rahul Sharma, Equity 99 Advisors.

Additionally, Paytm’s several businesses from banking, wealth management to insurance are already businesses that are required to be compliant with regulators. The company’s focus on transparency defines its products and also helps to build trust with regulators and other stakeholders.

Also Read

This responsibility is even greater because the company helps people manage, spend and save their hard-earned money.

The RBI’s move to create a discussion paper on digital payment charges is to ensure that they are affordable to users, while also being a good economic choice for providers. Such initiatives could be a massive enabler and accelerator for the continued transformation of India into a cashless economy.

“For Paytm, being the only listed player that also has a banking license leads to additional regulations, which is not experienced by its unlisted counterparts. The stringent regulations in the sector will lead to somewhat a level playing field and result in consolidation of the sector; which, in turn, can be beneficial to Paytm”, said Avinash Gorakshakar, Head Research, Profitmart Securities.

Paytm, which got listed in November 2021, has been growing its businesses, with a focus on financial services. The company’s revenue has been growing on a quarter-on-quarter basis, with a push from non-UPI GMV

Stay updated

Subscribe to our newsletter and never miss an update on the latest tech, gaming, startup, how to guide, deals and more.

Latest

Stories

- Advertisement -
- Advertisement -

Latest

Grow Your Business

Place your brand in front of tech-savvy audience. Partner with us to build brand awareness, increase website traffic, generate qualified leads, and grow your business.

- Advertisement -

Related

- Advertisement -
- Advertisement -
TikTok Targets $20B E-Commerce Expansion in Southeast Asia WatchOS 10: Automatic Night Mode for Apple Watch Ultra Twitter Blue: One-Hour Tweet Editing Window for Subscribers Google Pay Enables Aadhaar-Based UPI Authentication iOS 17: Improved Autocorrect with Personalized On-Device ML OnePlus Nord N30 5G goes official in the U.S. Apple Introduces Vision Pro VR Headset for Augmented and Virtual Reality Microsoft to Pay $20M Fine for Violating Children’s Privacy with Xbox Nothing Phone (2) Confirmed for India Production Fitbit Integration with Google Accounts Begins
TikTok Targets $20B E-Commerce Expansion in Southeast Asia WatchOS 10: Automatic Night Mode for Apple Watch Ultra Twitter Blue: One-Hour Tweet Editing Window for Subscribers Google Pay Enables Aadhaar-Based UPI Authentication iOS 17: Improved Autocorrect with Personalized On-Device ML OnePlus Nord N30 5G goes official in the U.S. Apple Introduces Vision Pro VR Headset for Augmented and Virtual Reality Microsoft to Pay $20M Fine for Violating Children’s Privacy with Xbox