Vijay Shekhar Sharma Expects Paytm Payments Bank Recovery Soon

Vijay Shekhar Sharma, founder and CEO of Paytm, expressed optimism about the recovery of Paytm Payments Bank following regulatory challenges imposed by the Reserve Bank of India (RBI) last year. The RBI had restricted the bank due to concerns regarding data flows between it and its parent company, requiring Sharma to distance the two entities and seek new partnerships. At the World Economic Forum 2025 in Davos, Sharma stated that the bank is now operating at an 'arm's length' and expects to resolve the issues soon. Paytm has reported a narrowing net loss and aims to achieve operational profitability excluding employee stock ownership costs in the upcoming quarter. Despite the setbacks, Sharma remains committed to revitalizing the bank's operations and has initiated changes in management and strategy. Paytm now faces stiff competition in the digital payments market from major players like Google and Walmart-backed PhonePe.