Paytm gets RBI’s in-principle nod to revive wallet business; shares hit record high

MUMBAI One97 Communications, the parent company of Paytm Payments Services Ltd, on Friday said it had received an in-principle approval from the Reserve Bank of India (RBI) to operate prepaid payment instruments (PPIs), paving the way for a possible revival of its wallet business. PPIs allow users to store money in advance in digital wallets and use it to purchase goods and services, transfer funds and make remittances.

During the first quarter of FY27, the company had disclosed that it had applied for a full-fledged PPI licence. The in-principle approval marks a significant step in Paytm’s efforts to re-enter and expand its wallet operations under the RBI’s regulatory framework.

However, the company will have to meet the conditions prescribed by the central bank before securing final authorisation.