In a move towards the establishment of a cashless experience and a digital experience, Paytm has announced a formal partnership with major NHAI (National Highways Authority of India) toll concessionaires that includes the likes of Reliance Infra, Sadhbav, IRB, MEP, L&T and GMR to enable cashless payments at all state, national and city toll plazas. Commuters across the country who use the highways for travel will be able to pay their toll charges instantly using the Paytm app by simply scanning the QR code placed at all toll payment counters.
Kiran Vasireddy, Senior Vice President of Paytm, told Hindustan Times,”Now users can pay toll tax with Paytm using code-based cashless payments across 6000 plus lanes across the country, enabling the transportation sector transition to a digital economy.” Paytm, which is one of the largest digital payment interfaces in the country, has recently been on a roll trying to acquire new customers in a bid to expand their business. Vasireddy also stated that Paytm has a dedicated user base of more than 164 million. After demonetisation, the number of transactions via Paytm and similar platforms have surged. However, despite such positive indicators, Paytm, which is backed by Chinese e-commerce giant Alibaba, reported a net loss of Rs 1,549 crore for thefinancial year 2015-16, up from Rs 372 crore in 2015, a nearly four-fold increase, according to India TV.
Users will scan the QR codes availableat the toll payment counters, scan it and the Paytm app will take over to act as the payment interface. This will come as a major boost to the millions of users all over the country who use the highways. This latest initiative willchange the way everyday transactions take place in the country and push its economy towards becoming a truly cashless one. Implementation remains a grey area, with the millions of toll payment counters yet to get the update required to make the exercise a fruitful one.