Phonepe crosses five billion transactions with strong growth in tier 2, 3 cities

By

Maverick Martins

Published
Dec 15, 2019

Flipkart-owned digital payments platform Phonepe has announced that it has crossed five billion transactions on its app.
 

The company has witnessed strong growth this year with transactions jumping five times with 56 percent users from tier 2 and tier 3 cities. It had crossed the one billion transaction milestone in November 2018.
 
Phonepe has received a fresh capital infusion of Rs 586 crore ($82.7 million) from its parent firm in its latest funding round. The company has been on an expansion drive and continues to increase its footprint offline, especially in tier 2, 3 and 4 towns.

Phonepe had reported losses of Rs 1,907 crore for the financial year 2018-19, while its revenue stood at Rs 246 crore.
 
Sameer Nigam, founder and CEO of Phonepe in a statement said: “We are delighted to reach this milestone and are thankful to our customers and merchant partners for reposing their trust in us. Our journey over the last 4 years has been incredible, not just in terms of the growth of the platform, but also in realising the social impact that payments and financial services can create.”
 
“In particular, we believe the MSME sector is the core engine of the Indian economy and there is a need to create compelling solutions for MSMEs to thrive. We will continue working on solutions that provide best-in-class experience to consumers and merchants alike,” Nigam added.
 
At present, Phonepe is present in more than 150 cities across India and claims to have over 150 million bank accounts linked on its platform.