This Is Why Xiaomi Has Discontinued Its Financial Services Business In India 

According to Xiaomi India, it has wrapped up its financial services business in the country to focus on its core business services.

We are working with our partners and supporting our consumers during this process: Xiaomi India.

Handset maker Xiaomi discontinued its financial services business in India on Friday, the media has reported. According to Xiaomi India, it has wrapped up its financial services business in the country to focus on its core business services.

"As part of the annual strategic assessment activity and as a response to enhanced focus on our core business services, we closed the Mi Financial Services in March 2022. We are working with our partners and supporting our consumers during this process. We will continue to bring the latest technology and innovation for all with our products and services in the future," a Xiaomi India spokesperson told ABP Live.

As part of winding down its financial services in the country, Xiaomi has removed its Mi Credit and Mi Pay apps from its own app store and the local Play Store, said a report by TechCrunch.

Launched in 2019 in India by Xiaomi, Mi Pay had witnessed over 20 million registered users in the country that year itself, according to the handset maker's executives at the time. Later in 2019, the company launched Mi Credit, which is an app that lent customers between $70 to $1,400 at low-interest rates. Initially launched in May 2018 and then relaunched on December 2019, Mi Credit is an online curated marketplace for lending, and offers personal loans.

To recall, amid growing competition from the likes of rival Samsung, Xiaomi India in June announced a major leadership change. It announced company veteran Alvin Tse as the new General Manager of its business in India and also announced bringing back Anuj Sharma to Xiaomi India from Poco India, as its Chief Marketing Officer.

The management rejig at Xiaomi India also came amid the ongoing tussle with Enforcement Directorate (ED) over alleged tax evasion and Foreign Exchange Management Act (FEMA) violations. The former face of Xiaomi India, Manu Kumar Jain, after seven years in the country, transitioned to a global role as the Group Vice President and he is currently responsible for Xiaomi's International Strategy including International Marketing and PR.