New Delhi: Mahindra Comviva is in talks with Bharti Airtel, Vodafone India and Cholamandalam Finance to help them start the payment banking operations and the mobility solutions firm is expecting India to contribute 30 percent to its mobile financial business revenues in 3 years.
These three firms were among the 11 successful applicants which got the Reserve Bank's approval to start their payments banks.
Mahindra Comviva's 'mobiquity' solution will provide technological support system to deliver mobile financial services ranging from remittance and payments to savings and insurance.
"We expect to on-board the first customer (in payments banks) within the ongoing financial year. Services based on our solution would be available by the second half of next calendar year," Mahindra Comviva Senior VP and Head of Mobile Financial Solutions Srinivas Nidugondi said.
Apart from its own group company Tech Mahindra, Reliance Industries, Bharti Airtel, Vodafone, Aditya Birla Nuvo, Paytm, Cholamandalam Finance and India Post were among the 11 entities to get Reserve Bank of India (RBI) approval for starting payments banks.
Payment banks will cater to individuals and small businesses and are being set up to accept demand deposits, remittance services, Internet banking and other specified services. They will be allowed to issue ATM/debit cards and other prepaid payment instruments, but not credit cards.
They will not be allowed to undertake lending services and non resident Indians will not be allowed to open accounts.
Mahindra Comviva is currently working with India's third largest telco Idea Cellular in India for their M Money service. It also works with Bharti Airtel for Airtel Money service in many African countries.
"Out of overall MFS revenues, 10-15 percent comes from India. Based on the market opportunity and trends, the percentage is estimated to be doubled in three years time," he said.
The company will compete with the likes of Tata Consultancy Services (TCS), Infosys, Amdocs and Ericsson in the space.
Mobiquity enables mobile financial services for over 65 banks and mobile operators in over 45 countries.
It claims to have a 25 percent share in the operator-led mobile money market, processing 200 million transactions every month amounting to USD 4 billion.
