In today’s top news, WhatsApp is considering offering credit and lending to users in India, and the Bureau of Economic Analysis estimated that GDP dropped 4.8 percent in the first quarter of 2020. Plus, the Federal Reserve is asking banks for advice on its new Main Street lending program.
WhatsApp in India is considering a move into credit and lending so it can extend loans to users in the country. The company won’t be allowed to conduct any banking business and will have to use partnerships with existing banks to extend loans.
Advance estimates of gross domestic product (GDP) dropped 4.8 percent in the first quarter of 2020, the Bureau of Economic Analysis said on Wednesday, April 29.
The Federal Reserve is nearly ready to debut its new Main Street lending program, and is reaching out to banks for advice. The program will create up to $600 billion in loans for companies with 10,000 employees or less, or up to $2.5 billion in sales from 2019. Lending directly to companies is a new move for the Fed.
With the ongoing coronavirus pandemic still keeping people at home, Uber could be in dire straits, facing potentially laying off 20 percent of its workforce. Uber has withdrawn its financial forecasts for the remainder of 2020, suggesting the company now foresees a longer impact than it did previously.
Durable workwear is essential for EMTs, firefighters and many other frontline professionals, but the coronavirus pandemic and ensuing economic downturn means many of these workers are unable to afford it when it’s needed most. For this month’s Buy Now Pay Later Tracker, PYMNTS spoke with Josh Walker, co-founder of apparel eTailer 1620 Workwear, about how BNPL solutions are easing the financial burden — and helping essential workers stay focused and stress-free about additional expenses.
When it comes to appeasing cross-border shoppers, a one-size-fits-all approach can fall short. Winning over customers worldwide requires merchants to offer a secure, localized payment experience — which is no easy task, according to Kai-Uwe Mokros, payments managing directors at fashion eTailer Zalando. In our first Payments Powering The Platform Economy Report, Mokros discusses the security and infrastructure challenges that can get in the way of cross-border sales — and how retailers can navigate them with machine learning.
Mastercard posted results that showed a steep falloff in transactions and cross-border volumes, as the coronavirus pandemic hurt spending this past quarter. In a conference call with analysts, Mastercard CEO Ajay Banga pointed to a progression during the pandemic, and that should accompany a resurgence in payments activity: Containment, stabilization, localization and then, finally, growth. There have been signs of stabilization in regions such as Asia.