To remain updated and in accordance with the laws of the land, MobiKwik announced it would invest Rs. 400 crore over a span of five years for KYC compliance.
As per the latest directive issued by the Reserve Bank of India (RBI) it has become a mandate for all digital wallet companies and PPIs (Prepaid Payment Instruments) to remain fully KYC compliant.
The investment from MobiKwik’s end will commence from the forthcoming year with Rs. 100 crore for their current customer base of over 2 crore users.
KYC or “Know Your Customer” is the process of obtaining customer information to verify identity and ensure services are not misused.
Bipin Preet Singh, co-founder and CEO of MobiKwik, said:
We have set a target of achieving 2 crore full KYC wallets within the next year and we are expecting an expenditure of around Rs 50 per customer.
Bipin had been keen about the complaince with full KYC earlier as well and noted that by this process a user will have access to the entire financial system through a wallet, and thus promises a future for the industry.
According to him:
The digital wallet is the new king of fintech and these guidelines are a testimony to the growing influence of digital wallets in the Indian financial industry.
As per his latest statement:
RBI’s new norms further enrich PPIs and demonstrate our government’s allegiance to digital payments and commitment to the growth of the industry. Collaboration and competition are also going to drive the digital payments industry to its next phase.
The company had also announced their future plans for Aadhaar based e-KYC and will employ over 7,000 on-ground contractual staff for executing the same.
