Paytm gets RBI nod to revive wallet business via subsidiary
In short
Paytm’s subsidiary PPSL has got the RBI’s in-principle approval to issue prepaid instruments like wallets. It must submit a system audit report within six months.
This could help Paytm bring back its wallet business through a new subsidiary structure once the RBI’s conditions are met.
What the reporting says
Paytm’s subsidiary PPSL has received the RBI’s in-principle approval to issue prepaid instruments such as wallets through a new structure. The approval comes with a condition that PPSL submit a system audit report within six months. The move could help Paytm restart a wallet business that had been waiting for regulatory clearance.
Why it matters
Paytm’s subsidiary PPSL has received the RBI’s in-principle approval to issue prepaid instruments such as wallets, with a system audit report due within six months. The decision matters for Paytm because it opens a path to revive its wallet business through a separate subsidiary structure. The approval is conditional, so the next step is the required audit report.