NPCI incorporates NPCI BHIM Services Ltd (NBSL) as a wholly owned subsidiary

The National Payments Corporation of India (NPCI) recently announced the incorporation of NPCI BHIM Services Ltd (NBSL) as a wholly owned subsidiary.

Formerly known as Bharat Interface for Money (BHIM), the new entity was established to meet the growing demand for digital transactions in India. 

Leadership appointments

The newly formed NPCI BHIM Services Ltd will be led by experienced professionals in the financial sector.

Lalitha Nataraj has been appointed as the Chief Executive Officer (CEO) and Rahul Handa as the Chief Business Officer (CBO).

Nataraj has over two decades of experience in banking across leading private sector banks, with expertise in data analytics, marketing technology, lending, mobile & internet banking, and payments.

Similarly, with two decades of experience, Handa brings along a wealth of knowledge, having held significant roles at prominent financial institutions and consultancy firms. Their combined expertise will be instrumental in driving NBSL’s growth and strategic initiatives, the release notes.

Market competition

The establishment of NBSL comes at a time when the Indian digital payment market is witnessing intense competition, especially from foreign-owned fintech apps.

According to recent data, BHIM’s market share remains significantly lower than its competitors like PhonePe and Google Pay. These two players dominate the Unified Payments Interface (UPI) ecosystem, holding nearly two-thirds of the market share.

In response, the NPCI’s move to create a dedicated entity for BHIM is seen as an effort to boost the app’s market presence and challenge the dominance of foreign-owned fintech apps.