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18.3.17

Paytm hopes to start payments bank by month-end

Image result for Paytm Payments Bank
Paytm Payments Bank, which got the final approval from the Reserve Bank in January, hopes to start operations by the month-end, PayTm founder and chief executive Vijay Shekhar Sharma said in Mumbai today.
If the RBI blesses us, we will be able to have our bank by this month-end. Banking must be made available to everyone, the money that the customer puts in isn’t a liability but an asset, Sharma said at the India Today Conclave.
Vijay-Shekhar-Sharma-paytm
Vijay Shekhar Sharma, Founder and CEO, Paytm
Stating that banking in the present form is outdated, he said, "Versace suits will not change the banking model. Our payments bank will be built on a new model that will be focussed on bringing financial services to the hundreds of millions of unserved/under-served."
Taking a swipe at the way banks have dealt with loans given to industrialists and especially in dealing with the big-ticket defaulters, Sharma said, "the present financial system penalises a sincere person, but if someone speaks the language of those in the corridors of power, he takes a loan of hundreds of crores and fails to pay it back, he will still manage to live in London or such locales."
Sharma expressed belief that with greater penetration of mobile Internet connectivity, his business will grow further.

Paytm currently has about 21.5 crore subscribers, Sharma said adding as against this SBIhas 20.7 subscribers. Paytm does about 20 crore transactions a month, while according to RBI data, all other e-wallets put together do 19 crore transactions.
"You can undermine a business but not a technology; it is a tsunami," he said on online payments and smart phones. To further deepen this, we need better Internet network and telecom connections, he added.
One97 Communication-owned online payments firm Paytm on Thursday announced the launch of its mobile wallet services in Canada. This marks the entry of Indian consumer services startups in the Canadian market. The Paytm Canada app is currently live on Google Play Store and iTunes.

RBI to introduce Rs 10 plastic notes

The government today said the RBI has been authorised to conduct field trials of plastic notes of Rs 10 that have a longer life span.
Source: Shutterstock
In a written reply in the Lok Sabha, Minister of State for Finance Arjun Ram Meghwal said "it has been decided" to conduct a field trial with plastic banknotes at five locations of the country.
Approval for procurement of plastic substrate and printing of bank notes of Rs 10 denomination on plastic banknote substrates has been conveyed to the RBI, the minister said.
He further said plastic notes are expected to last longer than cotton substrate based banknotes.
Over the years, central banks across the world have been exploring different solutions like plastic notes and other developments in banknote substrates for extending the life cycle of banknotes. The minister also said an inter-disciplinary Standing Committee on Cyber Security has been constituted to review the threats inherent in the existing and emerging technology and suggest appropriate policy interventions to strengthen cyber security and resilience.
Almost a week back, the Reserve Bank (RBI) had announced to issue Rs 10 denomination notes with enhanced security features for circulation. The RBI said that the banknotes in the Mahatma Gandhi series-2005 are to carry inset letter ‘L’ on both number panels, bearing the signature of Governor Urjit Patel. The year of printing, 2017, will be on the reverse of the note. Among other features, numerals on both the panels will be in ascending size from left to right
The Indian 10-rupee banknote is a common denomination of the Indian rupee. The 10 rupee note was one of the first notes introduced by the Reserve Bank of India as a part of the Mahatma Gandhi Series in 1996, which is presently in circulation. The 10-rupee banknote has been issued and had been in circulation since colonial times, and in continuous production since Reserve Bank of India took over the functions of the controller of currency in India in 1923.

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