Walmart Flipkart, owned by the e-commerce platform of the Reserve Bank of India (RBI), has got the license of Non-Banking Finance Company i.e. With this, Flipkart will also be able to distribute loans. Now the company will be able to give loans directly to customers and vendors on its platform. This is the first time RBI has given a NBFC license to a big e-commerce player in India, allowing him to give loans, but not to accept the deposit.
RBI released registration certificate
Most e-commerce platforms currently provide loans in partnerships with banks and NBFCs. Loan license will enable India’s largest e-commerce firm Flipkart to give loans directly. The central bank issued a registration certificate to Flipkart Finance Private Limited on 13 March. This is a document that officially recognizes a company as NBFC.
Applied in the year 2022
According to the approval letter of the central bank, Flipkart applied for a license in the year 2022. American retail veteran Walmart holds more than 80 percent stake in Flipkart. A report was quoted by a source who knows the case as saying that Flipkart could start its loan operation “in a few months”. The source said that the final decision at the launch will depend on various internal procedures such as appointment of major management personnel and board members and finalizing business plans.
What is the company’s plan?
Flipkart is planning to give loans directly to its customers on its popular e-commerce platform and through its Finntech app Super.money. According to reports, Flipkart can also provide funding to sellers on its platform. Currently e-commerce giants provide personal loans to customers through partnerships with lenders such as Axis Bank, IDFC Bank and Credit Season.
Latest business news
