India’s road toll authority’s ban on Paytm Payments Bank buying Fastags affects around 20 million users. Paytm is facing challenges in business and monetization.
Paytm Payments Bank has been excluded from a list of 32 banks for buying Fastags. The Indian road toll authority doesn’t approve Paytm Payments Bank for buying Fastags.
This move will require RFID stickers for around 20 million Paytm Fastag users. Airtel Payments Bank, Axis Bank, HDFC Bank, ICICI Bank, State Bank of India, and others are Fastags-authorized.
After central bank regulations, Paytm may struggle to thrive. Macquarie Group analysts said RBI limits risk Paytm’s business model and monetization. Over the previous 11 days, Paytm has lost Rs 27,000 crore, or 57% of its value.
The removal of Fastags from the permitted banks list adds to Paytm’s regulatory issues and struggle to retain consumers in a changing sector.
Conclusion
India’s road toll authority doesn’t approve Paytm Payments Bank for buying Fastags. This move requires new RFID stickers for around 20 million Paytm Fastag subscribers. Paytm faces RBI rules and a sharp reduction in value.
