Fintech

Paytm CEO Urges Government to Include Payment Devices in PLI Scheme

• ByStartupStory     |    August 1, 2023

Vijay Shekhar Sharma, Founder and CEO of Paytm, has called on the government to include payment segment devices in the Production-Linked Incentive (PLI) scheme to promote local manufacturing. Despite facing higher taxes for local production compared to imported devices, Paytm has already begun manufacturing soundbox devices in India.

During the launch of two new models of payment soundboxes, Sharma highlighted the need for India to shift towards manufacturing to create job opportunities. He emphasized that relying on imported devices while developing software in India hinders the country from fully harnessing technological advantages.

“Paytm soundboxes are completely made in India. We have done indigenisation of soundboxes. As we all know, we are under pressure from one new thing. When soundboxes come from overseas, duty is not levied on them but we are required to pay duties. My request to the government is to declare PLI on payment equipment,” Sharma said.

The Soundbox devices allow merchants to receive payment alerts audibly, and with the introduction of the new music soundbox, merchants can also connect their phones to the device and enjoy music.

Looking ahead, Sharma envisions the installation of 4-5 crore soundboxes across the country within the next 3-5 years. As of June 30, 2023, Paytm had already established a subscription base of over 79 lakh merchants using their payment devices, such as soundboxes and card machines.

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