May 23: Chinese smartphone manufacturer Xiaomi has launched its first lending product in India. Called CreditBee, the lending product follows the footsteps of Mi Credit, Xiaomi’s microlending product that was launched for the Chinese markets.
Xiaomi has associated with lending platform KrazyBee to come up with CreditBee. The service has already gone live, but an official announcement from the company is expected only to take place in the coming weeks.
CreditBee will be a payday loan starting from Rs 1000 to Rs 1 lakh for a period of 90 days. The loan will be offered at an interest rate of 3%. Xiaomi has launched the product targeting the group of salaried professionals.
Xiaomi’s association with KrazyBee dates back to the previous year, during when the Chinese company invested in the student lending platform. Xiaomi led an $8-million round in KrazyBee jointly with Shunwei Capital; a company founded by XIaomi founder Lei Jun. The company is also gearing up for its second investment, which will be in Zest-Money, where Xiaomi is already offering EMI options to customers for purchases.
Xiaomi has focussed more on its investments in India after emerging as the leading smartphone name in the country. Over 32% of the company’s global revenue of $18bn was from the Indian market as detailed in the company’s recent IPO filings in Hong Kong.
According to reports, the company is expected to invest close to $1bn in various Indian start-ups over a period of five years. This would also be in line with the company’s push for sales and user experience. With that in the horizon, Xiaomi definitely appears to be having a promising future in the Indian market.