Buy Now Pay Later (BNPL) Possibilities in India
Buy Now Pay Later (BNPL) has been a popular financing option in recent years. The demand for BNPL in India has been increasing for almost 2-3 years, and this has been accelerated by COVID-19. BNPL has evolved into a more convenient payment option, which reduces the financial stress of the borrowers by providing no-cost EMIs.
Buy Now, Pay Later (BNPL) short-term micro-credit option that enables consumers to shop online and pay without interest within a few days or weeks. According to the India BNPL Report 2021, the BNPL market in India is projected to become a $35 billion market by 2026, growing at a CAGR of 66% over the next 5 years.
Millennials and the self-employed, who do not have access to a formal credit history, are projected to drive the industry. Given the huge untapped market, BNPL players are eyeing this huge opportunity especially as India’s credit card population is only 67 million, while banks focus exclusively on the top 100 million consumers. Growing smartphone penetration, affordable mobile data, ease of digital payments, advanced payment infrastructure and a stable regulatory environment make India a ripe market for BNPLs.
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This presentation has been prepared by DPNC Advisors Pvt Ltd. Ltd. (“The Company”) is a transaction advisory arm of Dewan PN Chopra & Co. The information provided here is in summary form only. This presentation does not contain all information that is or may be important to investors or potential investors and should not be construed as advice or recommendation to investors or potential investors regarding the holding, purchase or sale of securities or other financial instruments and does not take into account the particular objectives, financial situation or needs of any investor