Paytm Shares Rise After CEO Resigns from Payments Bank Board

Paytm, the Indian digital payments giant, has been facing a series of challenges lately. Despite a recent ‘underperform’ rating by brokerage firm Macquarie, Paytm’s stock saw a slight increase.  

Sharma’s resignation has caused Paytm shares to open over 1% higher on the National Stock Exchange (NSE) on February 27. 

Paytm has been struggling since the Reserve Bank of India (RBI) imposed restrictions on PPBL in January. 

These restrictions have been partially relaxed, but a new deadline of March 15 has been set. Since the restrictions were imposed, Paytm’s stock has dropped by a staggering 44%. 

Macquarie’s report suggests that Sharmas resi’gnation may indicate his willingness to give up control of PPBL, which could lead to the lifting of restrictions.  

If PPBL resumes full operations, Paytm could benefit from increased profitability, given its Rs 2.44 crore profit in FY 2023.  

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