Paytm founder and CEO Vijay Shekhar Sharma has met the RBI even as the February deadline looms over the operations of Paytm Payments Bank. According to Reuters, the meeting between Sharma and the RBI officials took place on Monday. Sharma has reportedly sought extension of the February 29 deadline amid regulatory concerns. The Reuters report says that Paytm has also sought clarity from the central bank over the transfer of wallet business’ licence and FASTag payments. While RBI did hear Sharma’s concern, the Reuters report adds that there were no ‘commitments’ from central bank on extension of February 29 deadline.
As of Monday, Paytm shareholders had lost $2.5 billion amid flurry of developments regarding impact of RBI ban on Paytm’s business. This is because Paytm Payments Bank is at heart of Paytm’s businesses as it powers most of the crucial features. Reports suggest that since the RBI ban came into effect, there has been a sharp spike in the downloads of other competing apps such as Google and Phonepe.
Meanwhile, there are reports that recruiters are currently inundated with resumes and job applications from employees of Paytm Payments Bank and its parent company, One97 Communications. A Mint report says that these employees are expressing concerns about potential future regulatory challenges facing the digital payments company. Individuals across various roles, including technology, merchant banking, sales, and marketing, are considering taking pay cuts in other opportunities, especially amidst a challenging job market where offers are scarce.