After making its debut in fintech, Xiaomi to enter Indian NBFC sector soon

• Smartphone giant, Xiaomi is all set to enter NBFC sector to provide consumer loan and b2b credits.
  
• Its newly registered company, Xiaomi Financial Services India is soon going to seek RBI’s permission to commence operation as NBFC.
  
• The board of directors include Xiaomi’s Corp co-founder Feng Hong and Xiaomi’s India MD Manu Kumar Jain.

The Chinese smartphone manufacturer, Xiaomi is mulling an entry into India’s Non Banking Financial Company (NBFC) sector by launching its new company Xiaomi Financial Services India. The company plans to provide consumer financing and business-to-business lending in India.

The new company was established on 10 October as a subsidiary of Xiaomi Singapore Fintech and Xiaomi Finance HK Ltd. The newly incorporated company is yet to seek RBI’s approval to operate as a NBFC in India. It has nominated Xiaomi Corp co-founder Feng Hong and Xiaomi India MD Manu Kumar Jain as the board of directors for Xiaomi Financial Services.

According to recent media reports, the smartphone major is planning to offer consumer loans against e-commerce purchases such as home appliances, electronics and apparels. Further, it is also looking forward to provide credit to business against any acquisition of assets and goods. All the services will be provided using online platforms.

Xiaomi has already launched MI Credit and MI Finance as Fintech in India. MI Credit with KreditBee provides personal loans, whereas, MI Finance has tied up with ZestMoney to provide the EMI facility.