One 97 Communications announced that it is expanding operations to the United Arab Emirates, Saudi Arabia and Singapore. The company plans to invest up to INR 200 million in each of these markets for deploying its merchant payments and financial services products. It will consider organic expansions and strategic partnerships and investments along with local licences in these countries.
Paytm is among several Indian fintech startups who are looking to expand their businesses to the Middle East and Southeast Asia. While the likes of M2P Fintech are powering banking services in these countries, CCAvenue and Pine Labs have already started payment businesses. In a bid to boost its lending operations, Paytm said it has enhanced default loss guarantees offered to its non-banking finance partner SMFG India Credit Company, formerly known as Fullerton India.
Guarantees offered by Paytm have been increased to INR 3,500 million from INR 2,250 million previously. The Reserve Bank of India allows fintechs to offer default guarantees up to 5% of the loans disbursed through its partners.