Amazon and Flipkart have expanded their presence in India’s lending market, challenging traditional banks by introducing consumer and small‑business credit products. Amazon acquired Bengaluru‑based non‑bank lender Axio earlier in 2025. The firm, which had previously focused on Buy Now, Pay Later (BNPL) and personal loans, plans to resume lending to small businesses and add cash‑management solutions.
According to a representative from Amazon, there is substantial potential to grow credit among digitally engaged customers and small businesses outside major cities. The company also intends to design lending offers that help merchants and smaller enterprises manage cash flow and access capital efficiently.
Flipkart, majority‑owned by Walmart, registered its non‑bank lending unit, Flipkart Finance, in March and is awaiting final approval from the Reserve Bank of India to implement its business plan. Filings indicate two planned BNPL products: interest‑free monthly instalment loans for online shoppers over 3 to 24 months, and consumer durable loans carrying annual interest rates of 18% to 26%. By comparison, loans for consumer durables from traditional lenders generally range from 12% to 22% per annum. A source familiar with Flipkart’s plans said the company expects to start offering these products next year.
Market and regulatory context
India’s consumer loan market has grown from around USD 80 billion in March 2020 to roughly USD 212 billion as of March 2025, according to data from credit bureau CRIF High Mark cited by Reuters. Consumer loans cover unsecured personal loans, credit cards, and loans for consumer durables. Both Amazon and Flipkart operate apps that are among the top 10 used for payments through India’s Unified Payments Interface, giving them a wide reach in the digital finance ecosystem.
In addition, Amazon has partnered with multiple local lenders to provide fixed‑deposit savings products on its Amazon Pay platform, with minimum deposits starting at USD 11, according to a company representative.
