Paytm Share Price: A decision of National Payments Corporation of India (NPCI) has dealt a severe blow to the shares of Paytm’s parent company One97 Communications. NPCI has postponed the date of implementation of the cap limit fixed for UPI by two years, which dealt a huge blow to Paytm. Currently, it is priced at Rs 987.55 on BSE with a decline of 2.94 percent. In intra-day it had slipped by 4.02 percent to the price of Rs 976.55.
What is the decision of NPCI, on which Paytm broke?
NPCI had presented a proposal about four years ago in November 2020, according to which a maximum cap of 30 percent was imposed on the number of transactions through UPI, that is, no single digital payment firm can have more than 30 percent market share. It was to be implemented from the end of 2024 but according to the statement of NPCI, now it will come into effect from the end of December 2026.
Currently, Google Pay and Walmart’s PhonePe are used the most. According to NPCI’s November data, PhonePe’s share in UPI payments was 47.8 percent and Google Pay’s 37 percent. In November, both of them processed 1310 crore transactions. Apart from this, NPCI also removed the ban on adding new users to WhatsApp’s UPI product. This shocked Paytm. Not only Paytm but other players of this segment like Navi, Cred and Amazon Pay also suffered a setback.
How were the shares in one year?
Paytm shares had made huge profits for investors in a short period of time last year in 2024. Last year on May 9, 2024, it was at Rs 310.00 which was a record low for its shares. From this low level, it jumped by about 243 percent in 7 months and reached a price of Rs 1063.00 last month on December 17, 2024, which is a one-year record high for its shares. However, the rise in shares stopped here and at present it is about 7 percent downside from this high.
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