PayU, one of India’s leading digital financial services providers, has announced a strategic partnership with Amazon Pay Later to offer instant digital credit access to millions of Indian shoppers. This collaboration aims to bridge the significant credit gap in the country by integrating Amazon Pay Later’s buy-now-pay-later (BNPL) service into PayU’s advanced checkout infrastructure.
The partnership is set to benefit both consumers and merchants by providing a seamless and flexible credit solution. With India’s credit-eligible population estimated at around 220 million, only about 77 million (35%) are currently using credit products, according to a report by TransUnion CIBIL. This highlights a substantial credit gap that Amazon Pay Later and PayU are addressing through their collaboration.
Amazon Pay Later will be integrated into PayU’s advanced checkout system, allowing online Indian merchants to offer instant credit lines to their customers. This integration is expected to enhance consumer access to credit, thereby driving better business revenues for merchants by enabling them to provide more flexible payment options.
Additionally, PayU will introduce Amazon Pay Later on its Offers Engine Platform, a tool that allows merchants to create customized offers at checkout across various payment modes. This will enable businesses to offer instant credit to their customers, potentially increasing the average ticket size and fostering greater customer loyalty.
Nikhil Mehta, Senior Vice President – Payments Strategy and Partnerships at PayU, expressed his enthusiasm about the partnership, stating, “We are thrilled to introduce Amazon Pay Later to millions of Indian consumers through our industry-leading payments checkout platform. We believe this innovative solution is poised to significantly impact the way instant credit is accessed and utilized by consumers in India, while also helping merchants achieve better business outcomes.”
Vikas Bansal, Director of Amazon Finance, shared his excitement about the collaboration, saying, “We are excited to provide Amazon Pay Later through PayU and it allows us to further facilitate credit access, enhance flexibility, and simplify financial transactions for millions of customers. We are committed to fostering innovation and building partnerships that deliver exceptional value and help us provide a convenient, trusted, affordable experience for all.”