As the vibrant state of Gujarat inaugurated the highly-anticipated Vibrant Gujarat Global Summit 2024 in Gandhinagar, Paytm's Founder made an announcement, disclosing the company's plan to invest Rs 100 crore in GIFT City. The strategic announcement preceded the inauguration of the Summit by Prime Minister Narendra Modi.
One97 Communications, the parent company of Paytm, unveiled its ambitious strategy to invest a substantial Rs 100 crore in Gujarat International Finance Tec-City (GIFT City to establish a robust global financial ecosystem within the GIFT City.
The investment, slated to be phased over time, is contingent upon obtaining the necessary approvals.
Vijay Shekhar Sharma, the Founder and CEO of Paytm, took to Twitter to share the company's vision, stating, "Announcing our plans to invest Rs 100 crore at @GIFTCity_to offer AI-driven cross-border remittance and set up a development center for innovation." Sharma envisions GIFT City becoming a global financial hub, propelling India to the forefront of innovation worldwide.
Announcing our plans to invest Rs 100 crore at @GIFTCity_ to offer AI-driven cross border remittance and set up a development centre for innovation— Paytm (@Paytm) January 10, 2024
Read more: https://t.co/zGTKoNDHLf #PaytmKaro pic.twitter.com/fSib7yw2W6
Driving AI-powered Financial Solutions
The investment aims to create an Artificial Intelligence-driven cross-border remittance and payments technology landscape within GIFT City. Paytm aims to deliver fast, reliable, and cost-effective remittance solutions on a global scale, thereby reducing friction in cross-border transactions.
In a disclosure under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Paytm's parent company stated, "The Company is considering an investment of up to Rs. 100 Crore in the Gujarat International Finance Tec-City (GIFT City), Gujarat, India, to offer AI-driven cross border remittance and set up a development center for innovation, subject to requisite approvals."
Paytm Infuses Rs 100 Crore for AI-Driven Financial Solutions
Vijay Shekhar Sharma praised GIFT City for its role as an "exemplary innovation hub for cross-border activities," highlighting its ability to facilitate foreign investors in maintaining foreign currency accounts, positioning it as a key player in the global financial arena.
He said, “GIFT City is set to become a global financial hub, further putting India on the world map for innovation. The strategic investment in GIFT City represents a pivotal step towards building an Artificial Intelligence-driven cross-border remittance and payments technology landscape, presenting global opportunities. This will enable us to deliver fast, reliable, and cost-effective remittance solutions, reducing friction, at a global scale. We are excited about GIFT City serving as an exemplary innovation hub for cross-border activities, enabling overseas investors the flexibility to maintain foreign currency accounts. Furthermore, we intend to leverage this investment to establish a dedicated development centre."
Investment To Set GIFT City on Global Financial Innovation Map
As a company renowned for innovations in QR, soundbox, and mobile payments, Paytm plans to leverage its capabilities to innovate and build new technologies. The company aims to attract global users looking to invest in India and play a pivotal role in reducing friction in cross-border remittances, offering AI-driven, faster, and cost-effective solutions on a global scale.
In addition to the financial investment, Paytm announced the establishment of a development centre in GIFT City. This centre will focus on creating innovative solutions and providing technology support, generating employment opportunities for engineers working on world-class financial products and services.
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