Uday Kotak: 'All banks have businesses coming from their hands! '

Uday Kotak: ‘All banks have businesses coming from their hands! ‘

By:
On:
In: Bussiness, India, Technology
Tagged:
With: 1 Comment

Indian Banks may lose businesses to UPI payment gateways, says Uday Kotak. For the past 4 years, digital payments in India have gained momentum with rapid growth and market penetration.

 Prime Minister Modi in his statement highlighted that the amount of digital transactions happening across the country has surpassed the card payments over the past year. Kotak Mahindra Bank Managing Director Uday Kotak said that there has been a critical lag in banks for accessing their respective digital payment apps technology.

Uday Kotak: 'All banks have businesses coming from their hands! '

Uday Kotak while addressing an Infinity Forum at the International Financial Services Centers Authority (IFSCA) said that Indian banks for the past two years have underestimated the potential and growth of digital payment and their respective gateways especially UPI payment gateway.

Read More: Banks Looting Customers In The Name Of Exchange Markups And Processing Fee?

 The banks having allowed UPI app services through Google Pay and PhonePay have led to their current 85 percent market share. With such high amounts of market share and ease of payment with seamless user interface, a large number of customers are predicted to leave the existing traditional markets in the coming future. 

He further said that the banks that are constantly upgrading and adapting to the new technologies are at low risk when compared to those banks that are not. He said that the advanced technology employed by google must be immediately made available and adopted by banks for further upgradation.

Uday Kotak: 'All banks have businesses coming from their hands! '

He further raised concerns over the digital payments apps stating that the digital payment apps offering bank accounts are on the offensive. With digital payments making significant contributions to the economy worldwide and in the country.

 It is also known that digital payment app like Paytm has launched banking services under the name of Paytm Payments Bank. As per financial experts opinion – It will not be possible to provide banking accounts to the users of their respective digital payment apps in the coming days.

Also Read: India Bullish on 5G Networks says Ericsson Report

Leave a Reply