Sunday , 14 April 2024
Uncategorized

Paytm to Comply with RBI’s Directions, Expects ₹300-500 Crores Impact on EBITDA Paytm

India’s leading digital payments platform, has announced that it will comply with the directions issued by the Reserve Bank of India (RBI) regarding the storage of payment data. The company expects this compliance to have a significant impact on its earnings before interest, taxes, depreciation, and amortization (EBITDA), estimating a range of ₹300-500 crores. The RBI had issued a circular in April 2018, directing all payment system providers to ensure that data related to payment systems operated by them is stored only in India. This move was aimed at ensuring the security and confidentiality of customer data. Paytm, being a major player in the digital payments space, is required to adhere to these guidelines. In a statement, Paytm stated that it has always been committed to the security and privacy of its users’ data.

The company has already initiated the process of setting up a new data center in India to store all payment data locally. This will ensure compliance with the RBI’s directions and provide enhanced data security for its users. The impact of this compliance on Paytm’s EBITDA is expected to be significant. The company estimates that it will incur additional costs in setting up and maintaining the new data center, as well as in implementing the necessary infrastructure and security measures. These costs are projected to range between ₹300-500 crores. Paytm has been a pioneer in the digital payments industry in India, and its compliance with the RBI’s directions is a testament to its commitment to regulatory compliance and data security. The company has always prioritized the protection of its users’ data and has taken proactive steps to ensure compliance with all applicable regulations. The move to store payment data locally is in line with global trends towards data localization, where countries are increasingly requiring companies to store data within their borders.

This is seen as a way to protect national security and ensure the privacy of citizens’ data. Paytm’s decision to comply with the RBI’s directions is a positive step towards strengthening data security in the digital payments ecosystem. By storing payment data locally, the company will be able to provide enhanced protection for its users’ data and ensure compliance with regulatory requirements. In conclusion, Paytm’s decision to comply with the RBI’s directions regarding the storage of payment data is a significant development in the digital payments industry. The company’s commitment to data security and regulatory compliance is commendable, and its efforts to set up a new data center in India demonstrate its dedication to protecting user data. While there may be a financial impact on the company’s EBITDA, the long-term benefits of enhanced data security and regulatory compliance outweigh the short-term costs.

Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Articles

Oneplus को तूफान में उड़ाने आया Oppo Reno 8 Pro 5G का स्मार्टफोन जबरदस्त कैमरा क्वालिटी के साथ
Uncategorizedटेक

Oneplus को तूफान में उड़ाने आया Oppo Reno 8 Pro 5G का स्मार्टफोन जबरदस्त कैमरा क्वालिटी के साथ

भारतीय बाजार में मशहूर Smartphone निर्माण करने वाली कंपनी Oppo ने आधुनिक...

Uncategorized

CM Ladli Bahna Yojana:

CM Ladli Bahna Yojana: 11वीं किस्त से पहले मुख्यमंत्री मोहन यादव ने...

Trending StoryUncategorized

Jason Kelce: A Tearful Farewell to Football

Jason Kelce, the legendary Philadelphia Eagles center, announced his retirement from the...

Trending StoryUncategorized

Zerodha Founder Nithin Kamath Reveals He Suffered a Mild Stroke Six Weeks Ago

Zerodha, India’s largest stockbroker, faced a setback when its founder, Nithin Kamath,...