Vijay Shekhar Sharma, founder of Paytm, on Friday promised the app users that financial technology company will keep functioning even after February 29.

The remarks came amid the Reserve Bank of India (RBI)’s ban on Paytm Payments Bank, a subsidiary of One 97 Communications.

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In a post on X, Sharma promised Paytm app users that the app will continue to function even after February 29, 2024.

Notably, the RBI in its notice on January 31 barred Paytm Payments Bank from providing banking services after February 29.

“To every Paytmer, your favourite app is working, and will keep working beyond 29 February as usual,” he said in his post.

He expressed gratitude and thanked the users for their support and said the Paytm team will strive towards app compliance as flagged by the RBI.

“I, with every Paytm team member, salute you for your relentless support. For every challenge, there is a solution and we are sincerely committed to serve our nation in full compliance,” he said.
“India will keep winning global accolades in payment innovation and inclusion in financial services – with PaytmKaro as the biggest champion of it,” he said, expressing the future prospects of working towards continuous advancement in the fintech sector.

After the RBI move, the shares of Paytm were locked at 20 per cent lower circuit for the second consecutive day on Friday.

Addressing the media on Thursday, Sharma had said One97 Communications Ltd (OCL) already works with various other banks and Paytm Payments Bank was one of the key banks. From here on the company is clear that it will work with various other banks and not Paytm Payments Bank Ltd (PPBL).

“On behalf of Paytm, this is more of a speed bump, but we believe in partnership with the banks and we will be able to see the same in the next few days,” he stated.

“Many large banks have reached out to us offering support and we are overwhelmed. We will have to change our Virtual Payment Address (VPA) as we partner with other banks. The decision to change partner banks will happen in a few weeks,” Sharma stated.