In August, Reserve bank of India (RBI) gave an in principle approval to 11 entities to run payment banks, including Reliance Industries, Airtel M Commerce Services, Vodafone m-pesa, Tech Mahindra and Idea Cellular’s promoter Aditya Birla Nuvo.
The Alibaba-backed Paytm is expected to start its payment bank operations next year. The entities have 18 months to start operations, PTI reported.
“Hiring for Paytm’s Payment Bank is a key focus area. We have planned to get on board about 3,000 people from banking and non-banking backgrounds like FMCG, telecom, consulting etc,” said Paytm Vice President Amit Sinha in a statement on Monday.
He said payment banks would also require a significant work force for field jobs and the company will add additional workforce from third-party agencies. “The majority of the employees will be brought in for technology roles and requirements,” he said.
Payment banks in India will cater to individuals and small businesses (SMBs) and are being set up to accept demand deposits, remittance services, Internet banking and other specified services. They will be allowed to issue ATM/debit cards and other prepaid payment instruments, but not credit cards. They will not be allowed to undertake lending services and non resident Indians will not be allowed to open accounts.