8th Pay Commission Update: Key Highlights from Terms of Reference Meet on 50% DA, DR

As discussions around the 8th Pay Commission gain momentum, the recent Reference Meet chaired by the Secretary of the Department of Personnel and Training (DoPT) brought significant developments. The meeting focused on various issues concerning central government employees and pensioners, with particular emphasis on Dearness Allowance (DA) and Dearness Relief (DR).

Major Concerns Raised in the Reference Meet

The National Council of the Joint Consultative Machinery (NC-JCM), representing employee unions, raised several critical issues affecting government employees, particularly those in the railways and defence sectors. Some of the key demands included:

  • Accidental deaths in railways and defence: Frequent accidental deaths among employees in these sectors were highlighted, urging immediate measures for safety and compensation.
  • Revision of family unit size for minimum wage: The staff side proposed considering a five-member family unit instead of three when determining the minimum wage, aligning with The Maintenance and Welfare of Parents and Senior Citizen Act 2022.
  • Decent and dignified living wage: The demand for fair wage revision was backed by considerations of modern living standards and nutritional requirements.
  • Restoration of the old pension scheme: A strong push was made for reviving the non-contributory pension scheme, ensuring financial security for retirees.

Proposed Changes in Allowances and Benefits

  • 50% DA and DR merger: A key demand was merging Dearness Allowance (DA) and Dearness Relief (DR) at 50% for all benefits, ensuring better financial stability for employees and pensioners.
  • Interim relief: The proposal included granting immediate financial relief to employees and pensioners ahead of the 8th Pay Commission implementation.
  • Children education allowance and hostel subsidy: An extension of these benefits up to post-graduation and professional courses was suggested.
  • Risk allowance implementation: The committee emphasised the need to implement pending Risk Allowance recommendations and exempt Running Allowance from income tax.

Structural and Policy Reforms

  • Inclusion of GDS and Election Commission employees: The staff side urged the inclusion of Gramin Dak Sevaks (GDS) and Election Commission employees under the 8th Pay Commission.
  • Merger and upgradation of pay scales: Nonviable pay scales were proposed to be merged, while minimum entry levels for skilled employees were recommended for upgrades.
  • Enhancement of Fixed Medical Allowance (FMA): The proposal sought to increase the FMA to ₹3,000 per month for pensioners.
  • Review of cadre and promotional prospects: The demand for revising the intergrade ratio of artisan staff in the Defence sector was raised to improve career progression opportunities.

Government’s Response and Next Steps

The DoPT Secretary acknowledged the clarity provided by the Reference Meet and assured that further discussions would be held to refine the 8th Pay Commission Terms of Reference. Before its formal constitution, additional meetings with the Standing Committee and NC-JCM will be conducted to address unresolved concerns.

Conclusion

The 8th Pay Commission is expected to bring major changes in the pay structure, allowances, and benefits for central government employees. The recent Reference Meet shed light on key concerns, especially regarding Dearness Allowance (DA) and Dearness Relief (DR), ensuring that financial and structural reforms are prioritised. With more meetings ahead, employees and pensioners can look forward to a comprehensive and fair wage revision under the upcoming 8th Pay Commission.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefull

QIP Fundraising Hits Record High in 2024, Real Estate Leads with ₹22,320 Crore: Anarock

Qualified Institutional Placements (QIP fundraising) in India reached an unprecedented high in 2024, despite ongoing market volatility. According to a study by real estate consultancy firm Anarock, QIP fundraising across sectors hit a historic peak, with 99 issues raising a total of ₹1,41,482 crore. This marks a staggering 75% increase from the previous record of ₹80,816 crore in 2020. Institutional investors remain optimistic, signalling confidence in the country’s economic fundamentals and long-term growth potential.

Real Estate Sector Leads QIP Fundraising

The real estate sector emerged as the frontrunner in QIP fundraising in 2024, with 8 developers and one Real Estate Investment Trust (REIT) collectively raising ₹22,320 crore. The surge in capital inflow highlights the sector’s resilience and attractiveness to institutional investors despite fluctuations in market conditions.

Anarock’s report underscores the robust demand in real estate, stating, “The real estate sector remained a dominant contributor in 2024, with institutional investors demonstrating strong confidence in India’s economic fundamentals.” The number of QIP issues in 2024 was twice that of the previous year, setting a record for the highest-ever QIP issuances in a single year.

Top Real Estate Companies Raising Capital

Several leading real estate companies capitalised on QIP fundraising to secure substantial investments. The top firms include:

  • Godrej Properties – ₹6,000 crore (December 3, 2024)
  • Prestige Estate Projects – ₹5,000 crore (September 10, 2024)
  • Brookfield India REIT – ₹3,500 crore (December 10, 2024)
  • Macrotech Developers – ₹3,300 crore (March 7,2024)
  • Brigade Enterprises – ₹1,500 crore (September 6, 2024)
  • D B Realty – ₹920 crore (March 18, 2024)
  • Keystone Realtors Ltd – ₹800 crore (May 29, 2024)
  • Max Estates Ltd – ₹800 crore (September 4, 2024)
  • Anant Raj Ltd – ₹500 crore (January 23, 2024)

The Benefits of QIP Fundraising

QIP fundraising remains an attractive option for developers due to its efficiency and cost-effectiveness compared to traditional private equity or bank loans. The key advantages include:

  • Quicker access to capital: QIPs offer a streamlined process, allowing companies to raise funds more rapidly.
  • Reduced shareholder dilution: Unlike other fundraising methods, QIPs minimise ownership dilution, preserving control for promoters.
  • Enhanced market credibility: A successful QIP issuance boosts investor confidence, positioning companies for further growth opportunities.
  • Flexible fund utilisation: The raised capital can be used for land acquisition, construction, debt refinancing, or business expansion, ensuring financial stability.

Institutional Investors Stay Bullish Despite Market Volatility

The Indian stock market witnessed sharp corrections in late 2024, with the Nifty 50 and Sensex experiencing fluctuations. However, QIP fundraising continued its momentum, proving the resilience of institutional investments. While retail investors remained cautious, large financial institutions and pension funds capitalised on long-term opportunities, particularly in the real estate sector.

As QIPs continue to provide companies with cost-effective capital, their role in shaping India’s financial landscape is poised for further expansion.

Ready to watch your savings grow? Try our SIP Calculator today and unlock the potential of disciplined investing. Perfect for planning your financial future. Start now!

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Want a ₹10 Lakh Personal Loan? Here’s How to Get It!

Unexpected expenses can arise at any time, and securing a personal loan is often the best way to manage financial needs without pledging collateral. Whether it is for medical bills, home renovation, or debt consolidation, understanding how to get a personal loan can help you access funds with ease.

If you are looking for a ₹10 lakh personal loan, here is everything you need to know about the eligibility criteria and documents required for a personal loan to get the best deal.

Eligibility Criteria for a ₹10 Lakh Personal Loan

Before applying, ensure you meet the eligibility criteria for a personal loan, as these factors influence approval chances and interest rates:

  • Nationality: Must be an Indian citizen.
  • Age requirement: Minimum age of 21 years at application, maximum 67 years at loan maturity.
  • Income: A minimum monthly income of ₹15,000 is required.
  • Employment type: Salaried employees (private or public sector) and self-employed individuals with at least one year of work experience are eligible.
  • Credit score: A score of 750 or above improves approval chances and secures lower interest rates.

Note: These criteria vary between lenders, so checking with your preferred financial institution for specific terms is advisable.

Documents Required for a ₹10 Lakh Personal Loan

Proper documentation speeds up loan processing. Below are the documents required for a personal loan, based on employment type.

For Salaried Employees

  • PAN card
  • ID proof (Aadhaar, Passport, Voter ID, etc.)
  • Signature proof
  • Address proof
  • ITR/Form 16
  • Bank statements (last 6 months)
  • Salary slips (last 3 months)

For Self-Employed Individuals

  • ITR for the last 2 years
  • Profit and Loss statement, balance sheet, and income computation (last 2 years)
  • Form 26AS, Income Tax Challan, or TDS certificate (Form 16A)
  • Business proof (registration certificate, GST certificate, etc.)

Factors Affecting Your ₹10 Lakh Personal Loan Application

Even if you meet the eligibility criteria for a personal loan, certain financial aspects determine loan approval:

  • Credit score: A score of 750+ ensures quicker approval and competitive interest rates. A lower score may result in rejection or higher rates.
  • Income stability: A steady source of income increases approval chances.
  • Occupation: Working in a reputed company or having a stable business history strengthens loan eligibility.
  • Debt-to-Income Ratio: Ideally, this should be below 30%. A higher ratio suggests financial strain, reducing approval chances.

Conclusion

A personal loan is a convenient financial tool, but it comes with higher interest rates compared to secured loans. Before applying, assess your repayment capability to avoid defaults that can harm your credit score. Research different lenders to find the best terms, and ensure you meet the required eligibility criteria for a personal loan while preparing the documents required for a personal loan to improve approval chances.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Union Budget 2025: Bihar Gets Makhana Boost, IIT Patna Expansion Announced

Bihar is once again in the spotlight of India’s Union Budget, marking the second consecutive year of significant focus. Finance Minister Nirmala Sitharaman’s announcements for Bihar in Budget 2025 not only target rural and agricultural development but also emphasise growth in education, infrastructure, and job creation.

These initiatives, which include the establishment of a Makhana Board and the expansion of IIT Patna, hold the potential to transform Bihar’s economy, especially with upcoming elections in sight.

Makhana Board to Boost Bihar’s Agriculture Sector

One of the most noteworthy announcements for Bihar is the creation of a Makhana Board. Bihar is the leading producer of Makhana (fox nuts) in India, accounting for nearly 85-90% of the country’s total production. The board is set to play a pivotal role in improving Makhana production, processing, and marketing. This will provide essential support to Makhana farmers, particularly in the north Bihar districts like Darbhanga, Madhubani, Sitamarhi, and Samastipur.

The new Makhana Board will help farmers gain access to training and government schemes, enhancing their income potential through value-added products and better market opportunities.

A National Institute of Food Technology for Food Processing

In another significant move, the Union Budget 2025 announced the establishment of a National Institute of Food Technology, Entrepreneurship, and Management in Bihar. This new institution will focus on enhancing food processing activities in the eastern region, which will have multiple benefits. For one, it will provide farmers with better opportunities for value addition to their produce, thus increasing their income.

Moreover, the institute will contribute to job creation by offering skills training and fostering entrepreneurship.

IIT Patna’s Expansion to Cater to Growing Demand

For Bihar’s youth, a major announcement was made regarding the expansion of IIT Patna. As part of the broader initiative to strengthen technical education, Finance Minister Sitharaman revealed plans to expand infrastructure at IIT Patna, increasing hostel capacity and facilities.

This is aimed at providing quality education to a greater number of students, and it aligns with the government’s larger strategy of expanding IITs across the country. Additionally, the government will provide 10,000 fellowships for technology research at IITs and IISc over the next 5 years.

New Airports and Infrastructure for Better Connectivity

The Union Budget 2025 also promises improvements to Bihar’s air connectivity. Greenfield airports will be constructed, alongside expansions at Patna and Bihta airports. Greenfield airports are built from scratch on undeveloped land, whereas brownfield airports (like the Bihta airport in Patna) are developed on previously utilised land. This will ensure better connectivity for Bihar’s growing economy and improve travel access for both businesses and citizens.

Western Kosi Canal Project to Aid Irrigation

Another critical infrastructure initiative for Bihar is the Western Kosi Canal project. This project will provide financial support to improve irrigation systems, benefiting over 50,000 hectares of land across regions like Supaul, Saharsa, Madhepura, and Darbhanga. These areas, which face challenges in water management, will benefit from the canal’s improved irrigation facilities, boosting agricultural productivity.

Bihar’s Growing Role in National Development

The Union Budget’s focus on Bihar also includes initiatives for educational development. The Bharatiya Bhasha Pushtak scheme will promote Indian language books in digital formats for schools and higher education, contributing to a stronger educational framework.

Moreover, Bihar will benefit from the establishment of national centres of excellence and the creation of Atal Tinkering Labs in schools across the state. These initiatives will enhance scientific education, foster innovation, and prepare the youth for the future.

Conclusion

Union Budget 2025 has laid out a comprehensive roadmap for Bihar’s growth, focusing on agriculture, education, infrastructure, and employment. From the Makhana Board and food processing to IIT Patna’s expansion and improved connectivity, Bihar is set to witness significant changes that could shape its future.

With these strategic investments, Bihar stands poised for a strong economic transformation, ensuring that the state’s farmers, youth, and middle class are at the heart of India’s progress.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

India’s Service Sector Boosts Economy: GVA Contribution Rises to 55.3% in FY25

The Economic Survey 2024-25 has confirmed the dominance of the service sector in India’s economic landscape, terming it the ‘Old War Horse’. The sector has been instrumental in sustaining GDP growth, particularly when global merchandise trade slowed down.

With its contribution to the total GVA increasing from 50.6% in FY14 to 55.3% in FY25, the service sector remains a critical pillar of economic progress. Post-pandemic, its growth accelerated, averaging 8.3% between FY23 and FY25, significantly contributing to employment and domestic consumption.

Rise in Services Exports

India’s share in global services exports has steadily increased, reaching 4.3% and ranking 7th worldwide. The sector’s export growth surged to 12.8% during April-November FY25, a notable rise from 5.7% in FY24. This expansion is largely driven by IT services and business services, which together account for 70% of total service exports.

Financial Support Fuelling Growth

Bank credit to the service sector stood at ₹48.5 lakh crore as of November 2024, registering a 13% YoY growth. Computer software and professional services witnessed the highest YoY credit growth at 22.5% and 19.4%, respectively. Additionally, the sector attracted ₹29.8 billion in FDI equity inflows during April-September FY25, with the insurance sector receiving over 62% of the total investments.

Key Growth Drivers of the Service Sector

  • Logistics and Connectivity

Indian Railways recorded an 8% growth in passenger traffic, while road transport contributed 78% of the total transport GVA in FY23. Digitised tolling via FASTag and improved road safety measures have enhanced connectivity. Meanwhile, India’s aviation sector is the fastest-growing globally, with record aircraft orders placed to accommodate rising air traffic.

  • Tourism and Hospitality

The tourism industry contributed 5% to GDP in FY23, generating 7.6 crore jobs. International tourist arrivals have rebounded to pre-pandemic levels, with India now accounting for 1.45% of global tourist arrivals.

  • Real Estate and Infrastructure

The real estate market is witnessing a surge, with an 11-year high in residential sales in 2024. Housing demand is projected to reach 93 million units by 2036, supported by metro expansions and enhanced road connectivity.

  • IT and Global Capability Centres (GCCs)

The IT sector remains a strong pillar of India’s economy, with revenues hitting $254 billion in FY24 and exports nearing $200 billion. India’s GCCs, employing 1.9 million professionals, have grown from 1,430 in FY19 to over 1,700 in FY24, solidifying the country’s position as a global IT hub.

  • Telecommunications Boom

India has the second-largest telecom market, with 1.18 billion subscribers and 941 million broadband users as of October 2024. The average monthly data usage per user grew to 19.3 GB in FY24, up from 12.1 GB in FY21, underscoring the nation’s digital revolution.

Policy Framework and Future Strategy

A NITI Aayog study categorises service sub-sectors into four segments—defend, accelerate, transform, and untapped—each with specific policy recommendations. To further boost the sector, emphasis is being placed on skilling the workforce and regulatory simplifications.

With 72.6% of unincorporated enterprises operating in the service sector, efforts are being made to formalise businesses to maximise growth opportunities. The government aims to enhance training initiatives, strengthen MSMEs, and attract higher foreign investments to drive sustained expansion.

Conclusion

India’s service sector has solidified its position as the primary growth engine of the economy. With rising GVA contributions, increasing global exports, and expanding domestic demand, it is set to play a crucial role in shaping the nation’s economic trajectory.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Union Budget 2025: What’s Cheaper, What’s Costlier? Full List Here

Finance Minister Nirmala Sitharaman presented the Union Budget 2025-26, focusing on economic growth, industrial support, and middle-class empowerment. A major highlight of the budget is the revision of customs duties and import tariffs, impacting the prices of essential goods. While some products will become more affordable, others will see a price hike due to increased taxation.

Let’s explore the complete list of what’s getting cheaper and what’s getting costlier.

What’s Becoming Cheaper?

Several essential goods and industries have received duty cuts to support local manufacturing and boost economic growth. Here are the items that will now cost less:

Mobile Phones and Electronics

  • Mobile phone batteries: 28 additional goods used in battery production now enjoy duty exemptions.
  • LED/LCD TVs: Duty cuts on open cells and essential components make production cheaper.
  • Carrier-grade ethernet switches: Lower import duties to support digital infrastructure.

Healthcare and Medicines

  • Life-saving drugs: 36 critical medicines, including those for cancer, will be fully exempt from Basic Customs Duty (BCD).
  • Medical equipment: Various essential medical tools receive duty exemptions.

Electric Vehicles and Batteries

  • EV batteries: Reduced import duties on lithium-ion battery scrap and other components will lower EV costs.
  • Cobalt and zinc products: Raw materials essential for battery manufacturing will be cheaper.

Agriculture and Marine Products

  • Seafood imports: Frozen fish paste and fish hydrolysate will have lower duties to boost exports.
  • Critical minerals: Exemptions on 12 key minerals will benefit the manufacturing sector.

Leather and Textile Industry

  • Wet blue leather: Reduced import duties benefit tanners and exporters.
  • Shipbuilding raw materials: Exemptions extended for 10 years to support the shipbuilding industry.

What’s Becoming Costlier?

Certain products will see a price hike due to increased customs duties, impacting both consumers and businesses.

Electronics and Displays

  • Flat Panel Displays (IFPDs): Custom duty increased from 10% to 20%, making large interactive screens more expensive.

Textile and Apparel

  • Knitted fabrics: Increased customs duties may lead to higher prices for clothing and textiles.

The Budget’s Impact on Growth

The Economic Survey 2024-25 projects India’s GDP to grow between 6.3% and 6.8% in FY26. The budget aims to support this growth by:

  • Strengthening industrial and manufacturing sectors through tax reliefs.
  • Enhancing disposable income for the middle class by reducing duties on essential goods.
  • Encouraging long-term investments in R&D and MSMEs.

Meanwhile, inflation is expected to ease due to improved food supply and a good Rabi harvest. However, risks remain due to uncertain weather conditions and global agricultural price trends.

Conclusion

The Union Budget 2025-26 brings a mixed bag of price changes, benefiting key industries while imposing higher costs on select products. If you are planning to buy mobile accessories, medicines, or EVs, you may find better deals ahead. However, if you are looking for large-screen displays or textiles, be prepared for a price increase.

With a strategic focus on economic growth, industrial expansion, and consumer welfare, this budget aims to create a balanced approach that supports both businesses and individuals.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Union Budget 2025: No Income Tax Payable on Income Up to ₹12 Lakh Under New Tax Regime, Standard Deduction Unchanged

On February 1, 2025, Finance Minister Nirmala Sitharaman presented the Union Budget 2025-26, unveiling significant tax reforms that aim to provide relief to the middle class. A much-anticipated announcement was made regarding income tax exemptions under the new tax regime.

The Finance Minister confirmed that no income tax will be payable for annual incomes of up to ₹12 lakh under the new tax structure. This decision is set to put more money in the hands of taxpayers, contributing to household consumption, savings, and investment, as per Sitharaman’s speech.

New vs Old Tax Regime (FY 2025-26)

New Tax Regime (FY 2025-26)

  • Income up to ₹4 lakh is tax-free.
  • Tax rates start at 5% for income above ₹4 lakh and gradually increase.
  • The highest tax rate of 30% applies to income above ₹24 lakh.
  • Salaried individuals can claim a standard deduction of ₹75,000, effectively making incomes up to ₹12.75 lakh tax-free.
  • This regime aims to reduce the tax burden and increase disposable income.

Old Tax Regime (FY 2025-26)

  • Income up to ₹2.5 lakh is tax-free.
  • 5% tax applies between ₹2.5 lakh and ₹5 lakh.
  • 20% tax applies between ₹5 lakh and ₹10 lakh.
  • The highest tax rate of 30% applies to income above ₹10 lakh.
  • Allows various deductions and exemptions, which can lower taxable income.

Key Differences

  • The new regime offers a higher tax-free threshold (₹4 lakh vs ₹2.5 lakh).
  • Higher-income taxpayers benefit more from the old regime due to deductions.
  • The new regime simplifies tax calculation but removes deductions available in the old regime.
  • Salaried taxpayers benefit from the ₹75,000 standard deduction under the new regime.

Section 87A Rebate Changes: A Boost for Lower-Income Taxpayers?

Under the new tax regime, a Section 87A rebate is available for those with an annual income of up to ₹7,00,000. This rebate allows for a reduction of up to ₹25,000 from the total tax payable. For those in the old tax regime, the rebate is ₹12,500, but only for individuals earning up to ₹5,00,000. With the increase in the income threshold for this rebate in the new tax regime, lower-income taxpayers will benefit from reduced tax liabilities, further supporting the middle class.

A Step Towards Boosting Middle-Class Spending

The budget announcement made by FM Nirmala Sitharaman is expected to be a catalyst for the economy. By reducing taxes for the middle class and giving them more disposable income, the government hopes to stimulate consumption, which will, in turn, fuel growth in various sectors. More disposable income means higher spending power, which could benefit industries such as retail, real estate, and consumer goods.

Conclusion

With these changes, the government is not only focusing on short-term benefits but also creating a framework for long-term economic stability. By leaving more money in the pockets of taxpayers, the Union Budget 2025-26 aims to create a beneficial cycle of consumption and investment, helping to sustain India’s growth trajectory for years to come.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Paytm Share Price Update and Q3 FY25 Results: February 01, 2025

As of 11:35 AM IST on February 01, 2025, Paytm share price stood at ₹766.75, slightly down from its previous close of ₹775.15. With a market capitalisation of ₹48,895 crore, the stock witnessed a trading volume of 8,787 lakh shares. The stock opened at ₹776.00, with a 52-week upper circuit limit is ₹1062.95, and its lower circuit limit is ₹310.00.

Paytm’s Financial Results: Q3 FY25

In its Q3 FY25 results, One 97 Communications, the parent company of Paytm, reported a net loss of ₹208.3 crore, a reduction from ₹219.8 crore in the same quarter of the previous year. Despite this, the company showed resilience with sequential growth in certain key metrics.

Paytm’s consolidated revenue from operations in Q3FY25 dropped by 36% year-on-year (YoY), amounting to ₹1,827.8 crore, down from ₹2,850.5 crore in the same period last year. However, the company managed to achieve a 10% sequential revenue growth, reflecting positive momentum in its operations.

Key Performance Metrics

  • GMV growth: Paytm’s Gross Merchandise Value (GMV) saw a strong 13% increase quarter-on-quarter (QoQ), reaching ₹5 lakh crore.
  • Payment services revenue: Revenue from payment services grew by 8% QoQ, totalling ₹1,059 crore.
  • Financial services revenue: Paytm’s financial services revenue surged by 34% QoQ, reaching ₹502 crore.
  • Net payment margin: Paytm’s net payment margin grew by 5% QoQ to ₹489 crore, driven by an increase in subscription revenue.

User Metrics

Paytm’s Monthly Transacting Users (MTU) stood at 7.0 crore in Q3FY25, slightly lower than the 7.1 crore reported in Q2FY25. The decrease was attributed to a lower exit run-rate of 6.8 crore MTU in Q2FY25. Despite this, Paytm’s management remains optimistic, highlighting strong growth in GMV and revenues from financial services.

Conclusion

Paytm share price reflects its continued efforts to drive growth despite challenges in its revenue trajectory. The company’s ability to generate growth in its payment services and financial services segments, coupled with a solid GMV increase, shows its potential to rebound in the coming quarters.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Suraj Uday Singh

Suraj Uday Singh is a skilled financial content writer with 3+ years of experience. At Angel One, he excels in simplifying financial concepts. Previously, he cultivated his expertise at a leading mortgage lending firm and a prominent e-commerce platform, mastering consumer-focused and engaging content strategies.