WhatsApp is considering expanding credit to Indian users
India’s digital payments industry is expected to reach $ 1 trillion by 2023 Credit Suisse. The popular messaging and payment app from Facebook has over 400 million users and could keep up Paytm, TelephonePe, and Google Tez.
A government filing in early April indicated that WhatsApp would like to “provide cash advances or loans on terms that seem appropriate to customers and others, and with or without security.”
The company is not allowed to do banking and must use partnerships with existing banks to provide loans.
WhatsApp began testing its Indian Unified Payments Interface (UPI) with 1 million users in 2018 and was scheduled to launch in 2019, but the initiative was blocked by regulatory issues. WhatsApp has not yet received the nod from New Delhi for a nationwide pay launch in India.
Amazon launched its Pay Later product in India on Tuesday (April 28th). It offers users a virtual line of credit of up to $ 263 to purchase goods or pay bills on the platform.
Amazon Pay Later aims to help users get better access to credit. The tool will help Indian customers better manage their monthly expenses, ”Mahendra Nerurkar, CEO of Amazon Pay India, said in a statement TechCrunch.
Facebook regards India as one of its largest markets and “confirmed” its commitment to India in early April.
Facebook is in talks with Indian telecommunications company Reliance Jio to acquire a multi-billion dollar stake in the company, but the deal’s timeline has stalled due to the coronavirus-triggered lockdown.
The social media giant invested $ 5.7 billion to acquire 9.99 percent of the shares.
Reliance Jio, a wholly owned subsidiary of Reliance Industries, has 370 million subscribers to its affordable mobile Internet service. The mobile operator was founded in 2016 by multibillionaire Mukesh Ambani.