Flipkart has launched unified payments interface (UPI) services which will allow its users to set up their own UPI handle for online and offline merchant transactions within and outside of the e-commerce platform.
On the Flipkart app, UPI can be used to pay for any product or service, including e-commerce transactions, scan and pay to UPI ID, and recharges and bill payments, the company stated in a press release.
Flipkart will benefit from the decision as it reduces its reliance on third-party apps such as Google Pay, PhonePe, Paytm, and its arch-rival Amazon. The Bengaluru-based establishment claims to have over 500 million registered users and 1.4 million sellers on its platform.
In its initial phase, Flipkart has partnered with Axis Bank, allowing users to register for UPI with the '@fkaxis' handle for digital transactions through the app.
Initially, the feature will be available for Android users.
It may be mentioned that Flipkart provides co-branded credit cards in partnership with Axis Bank.
Axis Bank is also assisting the Walmart-owned firm in expanding its fintech services. According to media sources, Flipkart is preparing to launch a new fintech platform named Super.Money that will include lending, insurtech, and other services. Prakash Sikaria will lead the new firm, which is expected to get a $20 million investment from Flipkart.
Flipkart raised $600 million in December from its parent firm, Walmart. The company is anticipated to raise $1 billion in total and is now valued at $32.55 billion.
Last year, foodtech giant Zomato launched its own UPI services in collaboration with ICICI Bank.
