North News Chandigarh, August 29 Paytm has received approval from the Finance Ministry to invest in its payment services business and plans to reapply for its financial services license. According to The Mint,the fintech company, under scrutiny since the Reserve Bank of India (RBI) ordered the winding down of its payments bank in January 2024, aims to strengthen its regulatory compliance and regain its footing in the sector. The company did not disclose the specifics of the approved investment.
Following the ministry’s approval, Paytm’s parent company, One 97 Communications, will submit a new application to the RBI for a payment aggregator license for Paytm Payment Services. Meanwhile, Paytm Payment Services will continue offering online payment aggregation services to existing partners. This comes after a previous rejection two years ago, requiring compliance with foreign direct investment rules due to investments from China’s Ant Group.
