A study done by ZestMoney, India’s largest and fastest growing consumer lending technology company has revealed that EMI financing has grown over 1000% in tier III cities over the past one year, bypassing the combined growth of tier I and II cities of India.
Left to right: ZestMoney Co-founders Priya Sharma, Lizzie Chapman and Ashish Anantharaman
“EMI financing is the key to enable masses in realising their aspirations without financial limitations. Tier II & III cities constitute majority of the Indian population, and being able to cater to this section of our society is critical for the growth of fintech companies,” said Lizzie Chapman, CEO, ZestMoney.
The study also revealed that in the year 2018-19, 46% of EMI financing was availed by borrowers from Tier-III cities, while 54% per cent was from customers in Tier I & II cities. This showcases the growing depth of fintech financing in India.
“Digitally enabled lending, coupled with the penetration of data has opened up even the smallest towns for us. We are observing a steep increase in consumers from smaller towns such as Patna, Lucknow, Indore, Bhopal, Jaipur, Ahmedabad and other towns. Smaller cities continue to be our prime customer acquisition target for this year as well,” Lizzie added.
ZestMoney is the largest and fastest growing consumer lending fintech company in India Founded by Lizzie Chapman, Priya Sharma and Ashish Anantharaman in 2015. The company is built as a platform that can meaningfully improve the lives of more than 300 million households in the country, who currently have no access to credit cards or any other formal financing options because of insufficient credit history. ZestMoney’s unique platform uses mobile technology, digital banking and Artificial Intelligence to make life more affordable to millions of Indian consumers.
The study was conducted among 5 million registered customers of ZestMoney in March 2019.