RBI will meet with NPCI and NHAI to talk about a rescue strategy for Paytm PB users. Report
business-standard.com
India
13-02-2024
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Next week, the Reserve Bank of India (RBI) will meet with a number of stakeholders, including the National Highways Authority of India (NHAI) and the National Payments Corporation of India (NPCI), to talk about the transfer of merchants and customers from Paytm Payments Bank.
The RBI prohibited Paytm Payments Bank (PPBL) from accepting any more deposits after February 29 last month. PPBL includes Paytm Wallet, which offers features similar to FASTag. Paytm had already stated that FASTags and wallets would need to be moved to different banks, and the business has already begun corresponding with these institutions.
The RBI announced on February 8 that Paytm Payments Bank's "persistent non-compliance" was the reason behind the ban. It is not permitted to take on new clients as of March 11, 2022.
Additionally, Das stated that the RBI encourages "bilateral engagement" and pushes regulated firms to make amends. He went on to say that before the RBI takes any action, the REs are given ample opportunity to implement corrective actions.