Hangzhou, 14th May: Alipay, an online payment solution provider and a subsidiary of the Alibaba Group, has stated that it anticipates extending RMB 1 billion (US$147 million) in loans to more than 20,000 Chinese small- and medium-sized enterprises (SMEs) in 2009. The programme is run in partnership with the China Construction Bank (CCB). This represents a significant increase over the US$29 million in loans that were distributed by Alipay in 2008. The company originally announced in January 2008 that it would partner with CCB to support sellers on Alibaba’s consumer auction site, Taobao.com.

Meanwhile, Paypal has announced what is described as its first B2B marketing push in Hong Kong. Kerry Wong, general manager of PayPal Hong Kong and Taiwan, told Marketing that local SMEs were resistant to online payment options due to security concerns. Paypal will concentrate on cost-savings achievable through online payments during the current economic crisis.  Courtesy Business Strategies Group www.bsgasia.com

BIIA Newsletter June 2009 Issue