The National Highways Authority of India (NHAI) has partnered with Paytm to enable cashless transaction on highway tolls across India. Paytm FASTag will allow commuters to pass through 350 toll plazas in the country without the need to stop. The tag is placed on the vehicle and uses RFID technology to allow for cashless payments via the Paytm Wallet. The company hopes to collect Rs. 1,800 crore in toll charges over the coming months.
Kiran Vasireddy, Sr. Vice President, Paytm, stated, “Cash slows down traffic at important toll plazas as attendants and motorists are left grappling with the hassles of dealing in loose change. The roll-out of Paytm-enabled FASTag will come as a relief to both commuters and toll plaza attendants and help towards the national cause of saving fuel.”
A few days ago, the Indian Railway Catering and Tourism Corporation (IRCTC) signed a deal with Paytm to integrate the latter’s payment gateway into the app. Vasireddy had stated that integration with IRCTC will not only provide greater convenience, but would also increase the success rate of such transactions.