Hyderabad: Payment solutions provider PayPal on Tuesday said it is working with its partners on localisation of data as mandated by the Reserve Bank of India even as the company launched its global technology centre in Hyderabad.
“As part of our operating set-up in India, we are working with our partners on how to enable this (data localisation) for the country,” said Guru Bhat, PayPal Vice-President and Gead (Engineering).
The RBI had, in April last year, asked payment firms to ensure their data were stored exclusively on local servers as this would help monitor and conduct investigations if need arises. International giants usually store data on global servers and the requirement to store data locally would require them to make an additional investment.
The expansion here follows the acquisition of fraud prevention platform Simility in 2018. It launched the new centre at Western Aqua at Kondapur in Hyderabad, it’s first in the city and third in the country. The other centres are in Chennai and Bengaluru.
The Hyderabad centre will focus on data science, risk management and machine learning to empower small and mid-sized businesses to identify and protect themselves from fraud. It will play a critical role in advancing the goals of Indian Government and Reserve Bank of India to increase digitisation to adopt digital payments in a safe and secure manner.
“India is a key growth market for PayPal and the opening of our global technology centre in Hyderabad, the heart of innovation and technology in India, marks a significant milestone on our journey,” said Bhat.
The centre has a capacity to accommodate 100 people and currently has 60 personnel now. They will be working on risk management and operations to provide digital payments solutions to its customers around the world. The India centres are the largest for PayPal outside of the US. These also work on artificial intelligence, machine learning, blockchain for effective money movement and management, he said.
“PayPal’s expansion in Hyderabad is a testament to the growth of the city as a global hub for MNCs and startups. Through this expansion, we are investing in Indian technology talent as well as to strengthen our global customer base,” said Tushar Shah, SVP, Enterprise Platform and Seller Risk, PayPal.
Speaking on the occasion, Telangana IT Principal Secretary Jayesh Ranjan said Hyderabad offered several advantages to the companies setting up their operations here in terms of availability of talent or the presence of an enabling ecosystem. Also, presence of Financial District within the city is bringing multiple financial companies to begin their operating in the city.
Ranjan also spoke about startup incubator T-Hub, which is nurturing many a fintech startup. The State had made attempts to bring PayPal to Hyderabad about five years ago but the company had then opted to set up base in Chennai. “PayPal has come to Hyderabad at a time when the Government is working to increase digital transactions,” he said adding that TS will be keen to work together with PayPal on specific solutions.
Telangana State provides PayPal many opportunities to grow as several small and medium enterprises operating in the State are keen to up their exports and are looking at hassle-free financial solutions, which players like PayPal can offer them.
PayPal has 267 million active account holders in about 200 markets around the world. Its platform enables consumers and merchants to receive money in more than 100 currencies, withdraw fund in 56 currencies and hold balance in their PayPal accounts in 25 currencies.