Paytm which is the India top digital payments firm, has now revealed a credit card with the Citigroup, to widen up its financial product base while giving its banking partner an opportunity to vastly expand its credit card customer base in India.
The new card should going to help the Paytm stay a step ahead of the rivals in the competitive digital payments markets in India where the companies from the Google to Walmart owned PhonePe are all scrambling to grab a piece of the digital payments pie that is also projected to grow to $500 billion by the end of 2020, according to the BCG group report.
For the Citi Bank, it is also a big opportunity to extend its retail presence in India.
“We think there is a tremendous potential for growth of this partnership,” Bird added.
Paytm has also become a household name across India after the New Delhi shock move to ban high value of currency notes late in the year 2016 that led to a cash crunch.
The Paytm First Card will provide 1% cash back on all the transactions, and reward points offered by the most rival credit cards in India.
“We understood that there is a set of the customer base or customer needs that get fulfilled when you have a credit card or card in the hand,” said Vijay Shekhar Sharma, founder, and CEO of One97 Communications.