RBI Governor Shaktikanta Das has said that 80 to 85 per cent of the users using Paytm wallet will not face any problems due to the regulatory action of RBI. The RBI Governor has advised the remaining users to link their apps with other banks.
On January 31, 2024, the banking sector regulator, Reserve Bank of India, took major action against Paytm Payments Bank and banned it from adding new customers and taking deposits or top-ups in the customers’ accounts. This ban was to be implemented on February 29, 2024, but later this moratorium was extended to March 15.
Speaking to ET Now, the RBI Governor said the deadline for linking the wallets linked to Paytm Payments Bank with other banks has been fixed as March 15. He has ruled out the possibility of extending the deadline. The RBI Governor said that the time given till March 15 is sufficient, and there is no need to extend it further. He said that 80-85 per cent of Paytm wallets are linked with other banks, and the remaining 15 per cent of wallets have been advised to link with other banks.
Ever since RBI took action against Paytm Payments Bank, people associated with Bakar Fintech have strongly criticized RBI’s decision on social media. Responding to these criticisms, the RBI Governor said that RBI’s action is against the regulated entity Paytm Payments Bank and not against any fintech company. He said that RBI’s decision has nothing to do with fintech companies. Shaktikanta Das said that RBI fully supports fintech companies and is ready for their growth.
For example, the RBI Governor said that a person can own and drive a Ferrari but must still follow traffic rules to avoid accidents. Regarding NPCI’s decision on the Paytm Payments App license, the RBI Governor said that steps will be taken only after an internal investigation. He said we have no objection if NPCI considers continuing the Paytm payment app because our action was against Paytm Payment Bank. The app is with NPCI, and NPCI will consider it. Expressing hope, he said that a decision should be taken soon.
