Mobile wallet and e-commerce platform Paytm has joined hands with Wipro Limited to create the technology infrastructure for its upcoming Payments Bank business.
Paytm (One97 Communications Limited) received its in-principle approval to set up a Payments Bank in August last year from Reserve Bank of India.
“Technology is an integral part of the value proposition we seek to create for customers of our upcoming bank and we are happy to announce that we will be partnering with Wipro. They have a demonstrated track record in banking technology in India that will be important in ensuring that our innovative solutions are integrated with core banking systems in a compliant and secure manner, creating the right platform for service delivery at large scale. We are a young and agile organization and the Wipro team has demonstrated the agility and flexibility that will be necessary to make this partnership meaningful,” said Shinjini Kumar, CEO designate at Paytm Payments Bank.
Wipro will be implementing the core banking solution for Paytm and also programme managing the integration of other key systems like the anti-money laundering solution and the regulatory reporting solution.
Wipro will provide Paytm an interface for its existing systems with the core banking solution. It will also put in place and manage the data centers for the Payment Bank in order to ensure smooth functioning of the new unit.
Soumitro Ghosh, president, India and Middle East Markets, Wipro Limited said, "Paytm is making steady strides towards its larger vision of financial inclusion in the country. Its Payments Bank is another step in this direction and we are happy to partner with them in their endeavor.”
Payment banks can accept demand deposits and savings bank deposits from individuals and small businesses, up to a maximum of Rs 1 lakh per account.
Non-resident Indians cannot bank with these ventures, which also cannot disburse loans. However, they can sell mutual funds, insurance and pension products as well as facilitate payments and remittances with a focus on the unbanked segment like migrant workers.
BW Reporters
Haider Ali Khan is an alumnus of IIMC. He holds a degree in English Journalism from the prestigious campus. His passion includes Aviation, Technology, Politics and Sports.
