E-commerce giant Amazon is planning to pace up its payment mechanism in the Indian market.
For fostering this initiative it has planned to tie up with government institutions such as electricity boards and insurance companies to create use cases for Amazon Pay outside its online marketplace.
Initially, Amazon Pay has launched payments on online food delivery platforms like Faasos and Box8 besides home services application Housejoy.
Amazon Pay’s launch on the above-mentioned platforms comes soon after it got a prepaid instrument (PPI) or a wallet licence from banking regulator the Reserve Bank of India (RBI) last month.
Amazon India’s consistent move into the payment domain will see it take on other companies in the space such as China’s Alipay-backed digital payments player Paytm, who is the market leader besides Flipkart’s PhonePe and MobiKwik.
Amazon Pay plans to build a full-fledged payment system in India and is aiming at increasing the number tie-ups. For instance, customers who have saved their credit or debit cards on Amazon will also be able to use that to pay on third-party players that Amazon India ties up with besides using the wallet.