UK's Winvesta offers Indian exporters alternative payment gateway
The company said that the service announced last week comes as an extension of the existing multi-currency banking facility and will help reduce export costs by up to 8%
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London: UK-headquartered Winvesta, a neobank building cross-border banking and wealth management solutions, has launched a foreign payment collections system for Indian exporters. The company said that the service announced last week comes as an extension of the existing multi-currency banking facility and will help reduce export costs by up to 8 per cent. Merchants get local account details in the US, UK, and Europe, which means the buyers only have to do a local transfer to the exporter's account.
"We are extremely excited to launch foreign collection accounts for businesses," said Swastik Nigam, Founder and CEO of Winvesta. "Many Indian businesses get a raw deal. The collections are expensive, delayed and opaque. Much of that money never made it to Indian shores. With this launch, we change that," he said. According to the finance expert, India's cross-border flows are over $800 billion annually and his company wants to make it easier for micro, small and medium enterprises (MSMEs) to bring home more of what they earn overseas. Under the system, businesses receive virtual accounts in over 30 currencies, including USD, GBP, and EUR.
The accounts serve as collection accounts for service exporters to receive payments, which are then converted to INR and deposited into their Indian bank accounts the same day. Winvesta says it supports payment collections from over 180 countries. According to the neobank, small and medium enterprise (SME) exporters' share in overall exports from India has been rapidly growing and is now close to 50 per cent of total exports. This includes both service and goods exports. Improving logistics and easy e-commerce platforms have helped Indian businesses expand globally rapidly.
