Paytm plans ~20,000-cr investment

Paytm, which has high-profile investors like SoftBank and Alibaba, has drawn up a massive investment plan of ~20,000 crore as the group expands its play into the digital payments, financial services and e-commerce space in the country.

“In the last two years and the next three years, we would have invested ~18,00020,000 crore. I don’t want to talk about profitability right now because we are still in an investment phase,” Paytm founder and Chief Executive Officer (CEO) Vijay Shekhar Sharma said.

He was speaking on the sidelines of the official launch of Paytm Payments Bank operations. Paytm — which offers a mobile wallet, recharge, bill payment services, ecommerce (Paytm Mall) and ticketing services — saw a massive growth in its business after the government's demonetisation drive in November last year. Paytm has 28 crore registered users, of which 18 million use Paytm wallet service.

Sharma said its platform processes about 250 crore transactions annually worth of ~80,000 crore. “We expect this to grow to ~1 lakh crore by the end of the financial year. The number of merchants on our platform will also touch 60 lakh in a few months,” he added. The company, Sharma said, will invest ~5,000 crore over the next two years in its financial and payments services and ~1,700 crore have already been pumped in this year.