Paytm’s parent company, One 97 Communications Limited (OCL), disclosed its plan to invest Rs 100 crore in Gujarat International Finance Tec-City (GIFT City).
The investment will be made gradually over time, and the company will obtain the necessary approvals for this initiative, as stated in the announcement to the exchanges on Wednesday.
Paytm aims to develop new technology for international users interested in investing in India through its association with GIFT City. The investment is anticipated to enable the company to focus on minimizing challenges in cross-border remittances, as highlighted in the announcement.
In October 2023, the Reserve Bank of India (RBI) introduced regulations to oversee entities facilitating payment and settlement for cross-border export and import transactions.
“The strategic investment in GIFT City represents a pivotal step towards building an artificial intelligence-driven cross-border remittance and payments technology landscape, presenting global opportunities. This will enable us to deliver fast, reliable, and cost-effective remittance solutions, reducing friction at a global scale,” said Vijay Shekhar Sharma, founder and chief executive of OCL.
Paytm plans to establish a development center in GIFT City dedicated to constructing cross-border solutions and serving as a technology backbone. The center will accommodate engineers focused on creating a range of financial products and services, as mentioned by the company.
