Chinese technology firm Xiaomi has shut down its financial services business in India, Reuters reported, citing a spokesperson.
The move is part of Xiaomi’s strategic assessment of its activities and to shift focus on core operations in the country.
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“We closed the Mi Financial Services in March 2022. In a short span of four years, we were able to connect and support thousands of customers. We are working with our partners and supporting consumers during this process,” Mint quoted a Xiaomi spokesperson.
In 2019, the firm launched Mi Pay, which allowed customers to make bill payments and transfer money.
As per Reuters’ report, the Mi Pay app is no longer among the apps that support the Unified Payments Interface (UPI).
The National Payments Corporation of India (NPCI), which operates UPI, declined to comment on the development.
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By GlobalDataThe firm also offered lending services via Mi Credit, which was first launched in May 2018 and later relaunched in December 2019.
Last August, the Chinese firm said it would offer a full suite of financial services across lending, payment, and insurance in the country.
The development comes as Xiaomi faces heightened scrutiny from the authorities in India, which is believed to be a leading market for the firm outside China.
In April this year, India’s financial crime watchdog froze some $676m worth of Xiaomi’s assets over alleged illegal remittances to foreign entities.
Xiaomi denied any wrongdoing and said that the move “effectively halted” its operations in India.
