PPI growth likely to boost Paytm revenue
Paytm has established itself beyond UPI, and created a full stack payment ecosystem
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New Delhi: The increase in prepaid payment instruments transactions could lead to higher than expected growth in wallet transactions and revenue for Paytm, says a Goldman Sachs report
The Reserve Bank of India (RBI) on June 24 released its 'Payments Vision 2025' report, which talks about the way forward for the Indian digital payments industry. With this comes a big boost for digital payments, which will be a positive for listed players like Paytm.
The RBI expects more than 3x increase in digital payment transactions, increase in PPI (prepaid payment instruments) transactions by 150 per cent, increase of payment transaction turnover vis-a-vis GDP to 8, increase in debit card transactions at PoS by 20 per cent, card acceptance infrastructure to increase to 250 lakh, increase of registered customer base for mobile based transactions by 50 per cent CAGR and more.
This overall growth will be beneficial for Paytm as it has established itself beyond UPI, and created a full stack payment ecosystem. Paytm, which introduced India to digital wallets and the QR code, has a host of flexible payment instruments - Paytm Wallet, Paytm UPI, Paytm Postpaid (Buy Now, Pay Later), Debit Cards, Credit Cards, NetBanking, and EMI and is also a leader in the offline payments market with its devices like Smart PoS and Soundbox.
