Facebook, Xiaomi want a slice of India's $1 trillion digital loan market

India's digital payments market is drawing the attention of some of techs biggest names after online transactions surged during the pandemic.

India’s digital loan market is becoming a battleground for companies from Facebook Inc. to Xiaomi Corp., as they seek a foothold in what’s set to be a $1 trillion industry.

Facebook this month said India would be the first country where it rolls out its small business loan program offering loans via a partner to firms that advertise on its platform. The loans will range from 500,000 rupees ($6,720) to 5 million rupees with interest rates of 17%-20%, potentially without collateral.  

The social media giant’s foray into India coincides with Xiaomi’s, the Chinese maker of everything from rice cookers to