Indifi lending platform and GPay team up to offer loans to MSMEs

Lending platform focused on small businesses Inasmuch asIndifi TechnologiesInasmuch as on Friday announced a partnership with Alphabet’s payment app, Google Pay, to help it find new lending opportunities from merchants.

“Google Pay has 10 million merchants, who will have the option to get a pre-approved loan from Indifi within the app itself, largely based on their payment receipt data,” said Aditya Harkauli, Commercial Director of Indifi.

It can be noted that the partnership comes at a time when the banking regulator Reserve Bank of India (RBI) expressed concern about the growing role of big tech in banking, especially after apps started collecting deposits.

Aditya clarified that the partnership with GPay was limited to advances only and added that the lending risk would be taken by a wholly owned subsidiary of Indifi, which is backed by a host of investors including Omidyar.

The company already has partnerships with players like Amazon, Inasmuch asFlipkartInasmuch as, Inasmuch asSwiggyInasmuch as and Inasmuch asZomatoInasmuch as to obtain loans from their respective ecosystems, and the merger with GPay is an extension of this.

Aditya said the partnership is already underway and in a year the company expects 10% of all loans it obtains to come from the GPay partnership, and expects the note size of the loans average around Rs 2.5 lakh.

These will largely be working capital loans with terms of 18 to 30 months, and may also include borrowing from small traders for purposes such as store renovations etc., he said. he declares.

Edited by Affirunisa Kankudti

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