Hard Competition started between American companies and Paytm on data storage.
US payment firms see India agreeing about changes in the data storage rules. However, due to the lobbying of American companies, his dispute with local payment company Paytm seems to be increasing. Documents related to the sources and the other matter are known to this point. In April, the Reserve Bank of India had ordered payment firms to store the data at the local level so that ‘unconditional supervisory access’ could not be done.
Due to this order of central bank, companies like Visa, MasterCard and American Express could have lost millions of dollars and would damage global fraud detection. However, due to these rules, the indigenous payments company Paytm got an edge and China’s Alibaba also benefited from this, who already store their data in India.
The company openly supported this proposal and tried to deal with the efforts of those companies from behind the door. In a meeting between officials and industry representatives in June, Paytm told in the interaction with executives of foreign companies that what are the advantages of data storage at the local level and how these rules are in the interest of the country. Three people related to the whole story told this story.
Secretary of India’s Economic Affairs, SC Garg was also present in this meeting. According to sources, during the meeting, Garg told Paytm that he did not bring the matter of national interest in debate in this entire conversation. This whole thing is being believed that the Indian government may be pushing the pressure of American companies further to change the rules.
