Paytm-RBI issue: Paytm’s shares plunged 20 per cent for a second day as it continued a slump following Reserve Bank of India (RBI) banning much of its business.RBI ordered its unit Paytm Payments Bank Ltd. to stop many of its activities, citing persistent non-compliance and supervisory concerns. The two-day decline in Paytm’s shares has erased over $2 billion in market value in the company.
Paytm is now down about 77 per cent from its initial public offering in 2021. The company said that operations should be back to “fully normal” by early March as it is accelerating plans to partner with other banks.
Paytm-RBI issue: What Paytm founder Vijay Shekhar Sharma said?
Paytm founder Vijay Shekhar Sharma said that the app would continue to operate beyond February 29. Taking to X (formerly Twitter), Vijay Shekhar Sharma said, “To every Paytmer, Your favourite app is working, will keep working beyond 29 February as usual. I with every Paytm team member salute you for your relentless support. For every challenge, there is a solution and we are sincerely committed to serve our nation in full compliance.India will keep winning global accolades in payment innovation and inclusion in financial services – with PaytmKaro as the biggest champion of it.”
He had earlier said, “This is an opportunity for us to come out better, stronger, abler, and more capable for the regulator’s eye and we are going to make sure that we will get out of this situation.”