India, Nov. 13 -- Paytm's wholly owned subsidiary, Paytm Payments Services Ltd (PPSL), has received in-principle authorisation from the RBI to set up and operate a payment system for issuing and operating prepaid payment instruments (PPIs), including digital wallets.

The fintech major disclosed that it has been granted the authorisation, under the Payment and Settlement Systems Act, 2007, from the apex bank in a filing today.

Now, Paytm can commence operations only after fulfilling the RBI's conditions and securing final authorisation, or a Certificate of Authorisation, from the central bank.

PPSL had submitted its application for a fresh PPI licence to the RBI on December 31, 2025, which Paytm disclosed in its Q1 FY27 earnings release...