Facebook-owned service, WhatsApp has decided to enhance its features from chat application to a credit lending service in India. A couple of years ago, WhatsApp had commenced testing of its mobile payment system in India, but faced issues to get this feature go up and running.
In a recent filing with the local Indian regulator, the firm has listed credit as one of the prospects it would pursue in the nation. The company cleared its stance on offering loans or credit as one of the main objectives to fulfill in the country.
Commenting on the move, Abhijit Bose, Head of WhatsApp India, said that the firm feels that the Indian mobile payments market, which has managed to entice several international and local firms in recent years, is still in the nascent stage and could eventually witness businesses evolve from the rudimentary process of sending money from one person to another.
However, WhatsApp is still waiting to get a green signal from New Delhi to bag an approval for the nationwide launch of Pay in India. In addition to this, the company has begun to expand its payment platform’s reach in various phases across the country.
According to Ajit Mohan, VP and head of Facebook India, currently around 1 million WhatsApp users across India have access to its Pay feature.
The market is filled with numerous digital payment firms like MobiKwik, Google Pay and Paytm that have expanded their services to credit, or online lending.
WhatsApp has guaranteed the NPCI (National Payments Corporation of India) that within the month of May, its payments system would successfully fulfill all the local data protection and storage regulations. For the record, NPCI had prior allowed WhatsApp to launch its payments services in a phased manner, commencing with 10 million users. However, it later retracted the order after WhatsApp Payments struggled to launch in India.