Paytm gets RBI’s in-principle approval for wallet business, audit due in 6 months

Paytm Payments Services, a wholly owned subsidiary of One97 Communications, has received in-principle authorisation from the Reserve Bank of India (RBI) to set up and operate a payment system for issuing and operating prepaid payment instruments (PPIs), including wallets.

The approval marks a key step towards Paytm’s return to the wallet business. However, the company will need to secure final authorisation from the RBI before it can start issuing prepaid payment instruments to customers.