Flipkart Breaks New Ground: RBI Grants NBFC License, Pioneering Direct Lending as India’s First Major E-commerce Player

Flipkart’s just made history! On March 12, 2025, the Reserve Bank of India (RBI) handed Flipkart Finance Private Limited a Non-Banking Financial Company (NBFC) license, making it the first major Indian e-commerce giant to offer direct loans to customers and sellers. This game-changer, reported on June 24, 2025, lets Flipkart ditch its reliance on bank tie-ups with Axis Bank and IDFC First Bank, paving the way for seamless credit through its platform and fintech app, super.money. With a $118 billion and plans for an IPO, Flipkart’s move could shake up India’s e-commerce and fintech scene. But what’s the catch?

What’s the Big Deal with Flipkart’s NBFC License?

Flipkart, the Walmart-backed e-commerce titan, scored a massive win with an NBFC license from the RBI on March 12, 2025, as confirmed by Reuters and Business Today. This makes Flipkart Finance Private Limited the first-of-its-kind among India’s major e-commerce platforms to directly lend, no longer just a middleman for banks like Axis or IDFC First. The license, applied for in 2022, allows Flipkart to offer personal loans, EMIs at checkout, and seller financing via its main platform and super.money app, its fintech arm.

Previously, Flipkart’s lending was through partnerships, offering loans with banks and NBFCs like Credit Saison. Now, it can craft tailored financial products, boost profitability, and tighten its grip on India’s 600 million online shoppers. The move, per X post @CNBCTV18Live, could “redefine e-commerce” by blending retail with finance. With Amazon’s Axio acquisition still awaiting RBI clearance, Flipkart’s got a head start in this fintech race. But how did this happen, and what’s the plan?

Source: CNBC TV18, June 23, 2025; X post by @CNBCTV18Live, June 22, 2025;,

Why Did Flipkart Get the NBFC License?

The RBI’s nod is a big flex for Flipkart, and here’s why it happened:

1. Proven Track Record:

   • Flipkart’s been in India since 2007, with a $118 billion valuation in 2024 after a $4 billion funding round led by Walmart, per The Financial Express. Its 150-200 million monthly active users and $1 billion in gross merchandise value (GMV) make it a heavyweight.

   • Its super.money app, launched in 2023, already processes UPI, showing fintech chops.

2. Regulatory Prep:

   • Flipkart applied for the license in 2022, aligning with RBI’s push for regulated digital finance. The March 2025 approval shows it cleared stringent checks on capital (minimum ₹2 crore), governance, and risk management.

   • Source: Times of India, June 5, 2025;

3. Market Demand:

   • India’s digital lending market hit $270 billion in 2024, growing 25% YoY, per RBI. E-commerce credit, like EMIs for smartphones or seller loans, is a $50 billion chunk.

   • With 70% of Flipkart’s sales in Tier-2/3 cities, direct lending taps into underserved borrowers, per Business Today.

4. Walmart’s Big Bet:

   • Walmart, owning 98% of Flipkart since 2018, sees India’s fintech as a goldmine. Its push to take Flipkart public (likely 2026) and move its holding company from Singapore to India in 2025 signals long-term play.

   • Source: The Financial Express, June 5, 2025;

5. Competitive Edge:

   • Amazon’s Axio acquisition is stuck in RBI limbo, giving Flipkart first-mover advantage. X post @FinancialXpress notes Flipkart’s “edge in streamlining lending” over rivals.

The license lets Flipkart offer loans without accepting deposits, keeping risks low while unlocking new revenue streams. But what’s the rollout plan?

Source: Business Today, June 5, 2025; X post by @FinancialXpress, June 5, 2025;,

How Will Flipkart Use Its NBFC License?

Flipkart’s gearing up to launch direct lending “in a few months,” per Reuters, with operations expected by Q3 FY26 (October-December 2025). Here’s the playbook:

1. Consumer Loans:

   • Personal loans and EMIs at checkout for buyers, especially for big-ticket items like smartphones (40% of Flipkart’s GMV) and appliances.

   • Rates could start at 10-12%, competitive with banks (11-13%) and NBFCs (12-15%), per Moneycontrol.

   • super.money app will offer instant loans (₹5,000-₹5 lakh) with AI-driven credit checks.

2. Seller Financing:

   • Loans for Flipkart’s 1.2 million sellers to manage inventory, logistics, or marketing. Current seller loans via banks have 12-14% rates; Flipkart could undercut at 10-11%.

   • X post @NDTVProfitIndia suggests seller loans could boost platform loyalty.

3. super.money Expansion:

   • The fintech app, already handling UPI and insurance, will integrate lending, targeting 50 million users by 2026.

   • Features like “Buy Now, Pay Later” (BNPL) and micro-loans (₹1,000-₹10,000) are planned, per Business Today.

4. Tech-Driven Lending:

   • AI and machine learning will assess creditworthiness using transaction data, bypassing traditional CIBIL scores (crucial for Tier-2/3 users).

   • Approval times could drop to 5 minutes, vs. 2-3 days for bank loans.

5. IPO Synergy:

   • Direct lending boosts profitability, key for Flipkart’s planned IPO. Analysts peg a $50 billion valuation post-IPO, per LiveMint.

   • Lending revenue could add 5-7% to Flipkart’s $10 billion annual revenue by 2027.

Flipkart’s finalizing internal steps—appointing a board, key management, and compliance teams—before launch, per Times of India. But what’s the market context?

Source: Moneycontrol, June 6, 2025; LiveMint, June 7, 2025; X post by @NDTVProfitIndia, June 5, 2025;,

The Bigger Picture: India’s E-commerce and Fintech Boom

Flipkart’s NBFC license fits a hot market trend:

1. E-commerce Growth:

   • India’s e-commerce market hit $120 billion in 2024, set to reach $300 billion by 2030, per Bain & Company.

   • Flipkart and Amazon hold 60% market share, with Tier-2/3 cities driving 70% growth.

2. Digital Lending Surge:

   • Digital loans grew 25% YoY to $270 billion in 2024, with BNPL at $15 billion, per RBI.

   • NBFCs like Bajaj Finance and PhonePe (Walmart-owned) lead, but e-commerce lending is untapped.

3. Fintech Race:

   • PhonePe, valued at $12 billion, plans an IPO by 2026. Its UPI dominance (50% market share) complements Flipkart’s lending push.

   • Amazon’s Axio buy and Paytm’s NBFC pivot show fintech’s the new battlefield.

4. Policy Support:

   • RBI’s digital lending guidelines (2022) and UPI’s 1.2 billion monthly transactions (2024) enable e-commerce credit.

   • Budget 2025’s ₹10 lakh crore infra push boosts Tier-2/3 consumption.

5. Challenges:

   • RBI’s tight NBFC norms (15% capital adequacy, 1.5% NPA cap) demand compliance.

   • Rising NPAs in unsecured loans (2.5% in 2024) and inflation (4.2%) are risks.

Flipkart’s NBFC play could reshape how Indians shop and borrow, per @taxologyin.

Source: The Economic Times, June 10, 2025; X post by @taxologyin, June 5, 2025;

How Does Flipkart Stack Up Against Rivals?

Flipkart’s NBFC license gives it a leg up, but competition’s fierce:

• Amazon:

  • Acquired Axio (2024) for lending but awaits RBI nod. Its Amazon Pay offers BNPL via partnerships.

  • Market share: 30% vs. Flipkart’s 32%. Axio’s delay hands Flipkart a 6-12 month lead.

• PhonePe:

  • Walmart-owned, with an NBFC arm and UPI dominance. But it focuses on payments, not e-commerce lending.

  • Synergy with Flipkart could create a $100 billion fintech duo by 2030.

• Paytm:

  • Has an NBFC but faced RBI curbs in 2024. Its lending dropped 20% YoY, per Business Standard.

  • User base (90 million) lags Flipkart’s 200 million.

• Bajaj Finance:

  • NBFC giant with ₹3.3 lakh crore AUM. Offers e-commerce loans but lacks Flipkart’s platform reach.

  • Rates (12-15%) are higher than Flipkart’s planned 10-12%.

Flipkart’s edge lies in its user base, platform data, and first-mover NBFC status, per @AshwinM_.

Source: Business Standard, June 8, 2025; X post by @AshwinM_, June 5, 2025;

What Are the Benefits for Flipkart?

The NBFC license is a goldmine for Flipkart:

1. Higher Margins:

   • Direct lending yields 5-7% margins vs. 1-2% from bank tie-ups, per Moneycontrol.

   • Lending could add ₹500-700 crore to revenue by FY27.

2. User Stickiness:

   • EMIs and BNPL boost cart sizes by 20-30%, per Bain & Company. Seller loans lock in merchants.

3. Data Advantage:

   • Transaction data (purchases, cart history) enables precise credit scoring, reducing NPAs (target <1%).

4. IPO Boost:

   • Fintech revenue strengthens Flipkart’s $50 billion IPO pitch, per LiveMint.

5. Competitive Moat:

   • Amazon’s regulatory lag and Paytm’s struggles give Flipkart a 12-18 month runway.

X post @dugalira calls it a “masterstroke” for Flipkart’s valuation.

Source: Moneycontrol, June 6, 2025; LiveMint, June 7, 2025; X post by @dugalira, June 5, 2025;

What’s in It for Customers and Sellers?

The NBFC license isn’t just Flipkart’s win—it’s a game-changer for users:

• Customers:

  • EMIs at 10-12% for phones, TVs, etc., vs. bank rates of 12-14%.

  • Instant loans via super.money (₹5,000-₹5 lakh) for emergencies or big buys.

  • BNPL for small purchases (₹1,000-₹10,000), rivaling ZestMoney.

• Sellers:

  • Loans at 10-11% (vs. 12-14%) for inventory or ads, boosting sales.

  • Faster approvals (1-2 days vs. 5-7) using Flipkart’s sales data.

• Tier-2/3 Focus:

  • 70% of Flipkart’s users are outside metros. Credit access could lift rural consumption by 15%, per The Economic Times.

X post @Ravisutanjani says, “Flipkart’s loans could make online shopping a breeze for small-town India.”

Source: The Economic Times, June 10, 2025; X post by @Ravisutanjani, June 5, 2025;

Risks and Challenges

Flipkart’s NBFC dreams face hurdles:

1. Regulatory Scrutiny:

   • RBI’s 15% capital adequacy and 1.5% NPA caps demand tight compliance. Violations could spark fines or license curbs, per Business Standard.

2. NPA Risks:

   • Unsecured loans (personal, BNPL) have 2.5% NPAs industry-wide. Flipkart’s AI models must keep defaults below 1%.

3. Competition:

   • Amazon’s Axio, once approved, could match Flipkart’s rates. Bajaj Finance’s ₹3.3 lakh crore AUM is a big shadow.

4. Operational Delays:

   • Flipkart’s still setting up its board and compliance teams. Launch delays could cede ground, per Times of India.

5. Macro Risks:

   • Inflation (4.2%) and US tariffs (10-20%) could dent consumption. RBI rate hikes (repo at 6.5%) may raise borrowing costs.

X post @tradingdocindia warns, “Flipkart’s NBFC is a bold move, but NPAs and RBI rules could bite.”

Source: Business Standard, June 8, 2025; Times of India, June 5, 2025; X post by @tradingdocindia, June 6, 2025

What’s Next for Flipkart?

Flipkart’s NBFC rollout is just the start:

1. Lending Launch:

   • Q3 FY26 (October-December 2025) target, starting with personal loans and seller financing, per Reuters.

   • ₹1,000 crore initial lending corpus, scaling to ₹10,000 crore by 2027.

2. super.money Growth:

   • Aims for 50 million users by 2026, adding insurance, investments, and credit cards.

3. IPO Prep:

   • Likely in 2026 at $50 billion valuation. Lending could lift revenue 5-7%, per LiveMint.

4. India Domicile:

   • Moving holding company from Singapore to India by Q4 2025, aligning with IPO and NBFC plans.

5. Amazon Counter:

   • Flipkart’s 6-12 month lead over Amazon’s Axio could grab 10% of e-commerce lending ($5 billion) by 2027.

X post @NivesMint predicts, “Flipkart’s NBFC could make it India’s fintech king by 2030.”

Source: Reuters, June 5, 2025; LiveMint, June 7, 2025; X post by @NivesMint, June 6, 2025;

Investor and Market Buzz

X is buzzing with reactions:

• @CNBCTV18Live: “Flipkart’s NBFC license redefines e-commerce. First-mover edge is huge.”

• @FinancialXpress: “Direct lending gives Flipkart a leg up over Amazon.”

• @AshwinM_: “Flipkart’s NBFC is a $50 billion IPO booster.”

• @taxologyin: “Credit without banks—Flipkart’s changing the game.”

• @tradingdocindia: “Bold, but watch NPAs and compliance.”

Analysts at Moneycontrol peg Flipkart’s lending revenue at ₹500 crore by FY27, with 10% margins. Investors are bullish, but some HNIs await launch clarity, per @StockTrends9.

Source: Moneycontrol, June 6, 2025; X posts by @CNBCTV18Live, @FinancialXpress, @AshwinM_, @taxologyin, @StockTrends9, June 5-6, 2025;,,,

The Bigger Picture: E-commerce Meets Fintech

Flipkart’s NBFC license reflects a global trend:

• Global Players:

  • Amazon offers BNPL in the US via Affirm. Alibaba’s Ant Group lends $300 billion annually in China.

  • Flipkart’s move could make India a fintech hub, per The Economic Times.

• Fintech Valuation:

  • India’s fintech market hit $100 billion in 2024, set for $400 billion by 2030. NBFCs like Flipkart could grab 20%.

• Consumer Impact:

  • 600 million online shoppers could access credit, lifting e-commerce GMV 15-20% by 2027.

• Risks:

  • Over-leveraging (40% of BNPL users miss payments) and data privacy concerns loom.

Flipkart’s NBFC could set a new standard for e-commerce, per @NDTVProfitIndia.

Source: The Economic Times, June 10, 2025; X post by @NDTVProfitIndia, June 5, 2025;

Wrapping Up: Flipkart’s Fintech Leap

Flipkart’s NBFC license, granted by RBI on March 12, 2025, marks it as India’s first major e-commerce player to offer direct loans. With a $118 billion valuation, 200 million users, and plans to lend via its platform and super.money app, Flipkart’s set to shake up a $270 billion digital lending market. Personal loans, EMIs, and seller financing at 10-12% could add ₹500 crore to revenue by FY27, boosting its 2026 IPO. But RBI compliance, NPA risks (2.5% industry-wide), and Amazon’s looming Axio play are challenges. With 70% of sales from Tier-2/3 cities, Flipkart could unlock rural credit, lifting e-commerce 15-20%.

Bro, is Flipkart’s NBFC the next big paisa wave, or will risks derail it? Can it outrun Amazon and Paytm? Drop your take—let’s see if this fintech gamble pays off!

Source:

• Business Today, June 5, 2025

• The Financial Express, June 5, 2025

• CNBC TV18, June 5, 2025

• Times of India, June 5, 2025

• Moneycontrol, June 6, 2025

• LiveMint, June 7, 2025

• The Economic Times, June 10, 2025

• Business Standard, June 8, 2025

• Reuters, June 5, 2025