The deployment will help Paytm drive digital payments across the rural hinterlands and penetrate deeper into the space
Paytm claims to have so far received mandates from multiple state governments, including Andhra Pradesh, Goa, and Uttar Pradesh, for deployment of digital payments solutions
On the back of narrowing loss and soaring revenue, investor sentiment has turned positive on Paytm which has resulted in the stock gaining over 65% year-to-date
Fintech juggernaut Paytm on Monday (November 27) said it has deployed more than 10,000 payment devices, including soundboxes, QR codes and card machines, at gram panchayats across the country.
The move will help Paytm introduce digital payments in the rural areas of the country and penetrate deeper into the Indian market. This is also expected to offer the company the first mover advantage over its competitors in the fintech space.
“We are committed to drive access to mobile payments to every part of India. With the deployment of our iconic payment devices like soundbox, card machine and QR, we are redefining the digital landscape of gram panchayats and rural India….,” said Paytm chief business officer (CBO) Abhay Sharma.
In a statement, the company said it has also received mandates from multiple state governments for deployment of payments solutions. The company has already inked a partnership with the Andhra Pradesh government to deploy card machines and soundboxes at more than 7,000 gram panchayats in collaboration with major banks such as HDFC Bank, SBI, and IDFC First Bank.
It has also bagged mandates from the Uttar Pradesh and Goa governments to implement card machines and soundboxes at the ground level.
In addition, the fintech juggernaut claims to have already digitised more than 1,200 gram panchayats through its QR code and soundbox solutions in Gujarat, Andaman and Nicobar Islands, Maharashtra, and Assam.
“The company has widened its reach in many states with the help of multiple partnerships with state government departments or gram panchayats or with banks and has been able to place its offline solutions like card machines, QR or soundboxes,” added the company.
This comes close on the heels of a slew of partnership signed by Paytm to bolster its offerings and scale its reach. Last week, Paytm announced that it was the official associate sponsor for the 54th International Film Festival of India. Prior to that, Paytm E-commerce partnered with Bigg Boss season 17 as its ecommerce partner.
Recently, it also extended its partnership with global traveltech company Amadeus to streamline booking experience.
Meanwhile, the company, barring a few hitches, continues to perform well on the bourses. The stock is up over 65% year-to-date (YTD) on the BSE. On the back of its narrowing loss and soaring revenue, investor sentiment has turned positive on Paytm.
In Q2 FY24, Paytm slashed its consolidated net loss by 49% to INR 291.7 Cr from INR 571.5 Cr in Q2 FY23. Meanwhile, operating revenue jumped 31% to INR 2,518.6 Cr during the quarter from INR 1,914 Cr in Q2 FY23.
Many institutional investors have also been selling their stake in the Vijay Shekhar Sharma-led company to cash in on the uptrend in the stock price. Last week, Warren Buffett-led Berkshire Hathaway exited the fintech giant by offloading its entire 2.46% stake in the company in a INR 1,370.6 Cr bulk deal.