Paytm to shut down its Canada app in next two months

Paytm on Friday announced that it is shutting down its Canada consumer app from March 14, 2022, while it will be disabling scheduled payments and top-ups for Paytm cash which includes, EMT transfers, Canada Post and bank transfers, effective today.

"During these unprecedented times we have had to make some tough business decisions. Unfortunately, as of March 14, 2022 the Paytm Canada App will be shutting down permanently. Effective January 14, 2022, we will be disabling Scheduled Payments and Top-Ups for Paytm Cash which includes, EMT transfers, Canada Post and Bank Transfers," the digital payments major owned by One97 Communications Ltd said in a blogpost.

"Any bill payments that are submitted or that have been pre-scheduled over the next 30 days will be accepted," it added.

It also stated that if customers hold an available balance in their Paytm wallet, they should use it towards either a bill payment and/or gift card purchase by March 14, 2022. "We would also like to suggest redeeming your Paytm Points towards any available gift cards on the App by March 14, 2022 as we will be unable to offer any compensation for them," it further stated.

Paytm also said the development has no impact on the Canada-based Paytm Labs or Paytm’s India business or revenue. "We continue to stay committed to our mission of driving financial inclusion in India," it added.

Meanwhile, shares of Paytm on Friday recovered losses after slipping below Rs 1,000 for the first time since its listing on Indian bourses.

The stock, declining for the ninth consecutive session, hit a record low of Rs 995 a share in the opening but recovered losses soon to go over 2 per cent higher. The scrip closed 8.17 per cent at Rs 1,116.05 apiece on BSE today.

The financial services firm had earlier reported 401 per cent year-on-year (YoY) rise in loan disbursals through its platform during October-December quarter at 44 lakhs. It disbursed loans amounting to Rs 2,180 crore, registering a 365 per cent YoY growth.

The gross merchandise volume (GMV) in the quarter grew 123 per cent to Rs 2,50,100 crore. It said the year-to-date GMV is already higher than all of FY21, led by significant non-UPI GMV growth.