WhatsApp is planning to start offering credit, insurance and pension products to lower-income individuals and those in rural areas in India. It also aims to help digitize local small and medium-sized businesses in its biggest market by users.
They have been working with banks in India for the past year to explore ways to bring financial services to individuals who have yet to become part of the banking population. So far, ICICI Bank and Kotak Mahindra have reached more than 3 million new users through the platform thus proving it a success.
With a reach of over 400 million users in India which is more than any other app in the country, WhatsApp is uniquely positioned to bring more people into the financial ecosystem.
Abhijit Bose, WhatsApp’s head in India, had this to say, “Based on the results, we will co-invest and scale. Even a small conversion of the demand will translate into an infusion of significant savings into the financial system. Over the next two years, we are committing to opening in entrepreneurial ways we never have before. We will launch many experiments.”