Axio Becomes Amazon's Subsidiary to Deepen India's Credit Access

 

As a strategic step to deepen its financial services in India, Amazon has finalized the takeover of fintech company Axio for USD 200 million. Axio, which has been extending Buy Now, Pay Later (BNPL) services via Amazon Pay, will now be a wholly-owned subsidiary of the global online retail behemoth. It is an important step in Amazon's quest to deepen financial inclusion in India, where financing access is still scarce.

"Only 1 in 6 Indian consumers has access to credit at checkout. Increased access to credit is a core priority at Amazon, and the acquisition of Axio will be a significant step towards achieving this objective." said Mahendra Nerurkar, Amazon Vice President of Payments.

Key highlights: 

• Amazon has completed its 200 million USD acquisition of Axio to boost financial inclusion and expand its presence in India's fintech market
• Axio, with its digital credit services, will strengthen Amazon Pay’s offerings, targeting underserved consumers and small businesses in India
• The acquisition aligns with Amazon's strategy to challenge traditional financial institutions and enhance its footprint in India's growing payments landscape

Axio, which was established 12 years ago, has built a range of digital credit and money management services that assisted almost 10 million customers, including small companies, with managing their money.

This transaction sees Amazon Pay well placed to expand its presence in India's payments market, where it is already the ninth-largest service on National Payments Corporation of India's Unified Payments Interface (UPI).

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The deal also supports Amazon's recent Reserve Bank of India clearances to issue payment wallets and offer insurance policies, expanding its financial services further.

The move indicates Amazon's broader ambition to challenge conventional financial institutions and expand its presence in one of the world's most important markets.