The Reserve Bank of India (RBI) has approved Paytm Payments Bank to operate as a scheduled payments bank, the company announced on Thursday, allowing it to extend its financial services operations.
Paytm Payments, as a scheduled payments bank, can participate in government and company RFPs, main auctions, fixed-rate and variable-rate repos, and reverse repos, as well as the Marginal Standing Facility.
It will also be able to participate in government-sponsored financial inclusion programmes.
One 97 Communications’ stock finished 2.6 percent higher in a 0.3 percent higher Mumbai market.
Vijay Shekhar Sharma, the creator of Paytm and a billionaire, owns 51% of Paytm Payments Bank, while One 97 Communications Limited owns the balance.