Paytm to invest Rs 100 Cr in GIFT City for AI-powered remittance and innovation centre
Positioning GIFT City as an innovation hub for cross-border activity, the fintech aims to develop technology facilitating global investments in India.
One97 Communications Limited (OCL), the parent company of fintech firm AI-driven remittance and establish an innovation centre., is planning to invest Rs 100 crore in Gujarat International Finance Tec-City (GIFT City) to build an
The investment, subject to requisite approvals, aligns with Paytm's vision to build a global financial ecosystem, it said in a statement. By positioning GIFT City as an innovation hub for cross-border activity, the fintech aims to develop technology facilitating global investments in India.
By leveraging artificial intelligence, the company also seeks to streamline remittances, reducing friction with cost-effective solutions.
"GIFT City is set to become a global financial hub. This will enable us to deliver fast and cost-effective remittance solutions, reducing friction at a global scale. We are excited about GIFT City serving as an innovation hub for cross-border activities, allowing overseas investors the flexibility to maintain foreign currency accounts,” said Vijay Shekhar Sharma, Founder and CEO, Paytm.
The establishment of a development centre within GIFT City is set to create employment opportunities for engineers and create effective financial products and services, according to a company statement.
Paytm recorded a 32% surge in revenue, reaching Rs 2,519 crore in Q2 FY24, while narrowing down losses to Rs 292 crore. The payments business revenue witnessed significant growth, rising by 28% YoY to Rs 1,524 crore. In September 2023, around 92 lakh merchants paid subscriptions for its devices, marking a YoY rise of 44 lakh and a QoQ increase of 14 lakh.
Edited by Kanishk Singh