In the midst of a deep down consumer financing crisis by Indian Fintech Startups, guess who is at the Gateway of India, Mumbai asking for NBFC license to operate in the Indian FinTech space. Yes! More than 2 dozen Chinese Dragons are waiting at the RBI gate in Mumbai.
What’s so special about Chinese Fintech Companies ?
Flush with funds, they target customers in the sub-prime segment [No CIBIL Score or a Score of just 500-550] and offer small-ticket loans (mainly pay cheque loans) which are short term in nature and profitable. There has been a regulatory clampdown in China last year which