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JD.com and Baidu to set up small loan services

By WU YIYAO in Shanghai | chinadaily.com.cn | Updated: 2013-09-23 21:30

JD.com, one of China's leading e-commerce platforms, and Baidu Inc, China's leading search engine, have obtained approval from regulators to set up small loan services in Shanghai, National Business Daily reported on Monday.

The two small loan service providers will locate in Jiading district, the NBC report said, citing Shanghai finance service authorities.

JD.com and Baidu submitted applications to set up small loan businesses in Shanghai in 2012, according to National Business Daily.

Both companies revised their proposals several times as Shanghai authorities revised policies for small loan services offered through the Internet, Shanghai finance authorities said.

Analysts said small loan services on the Internet may expand quickly as market demand is surging, but service providers need to handle the increasing pressure of financing those loans.

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