Alipay, a Chinese mobile payment platform operated by Ant Financial Services Group, has obtained an e-money licence in Luxembourg.
The new entity in Luxembourg will operate under the name Alipay (Europe).
Alipay already has a presence in the UK. However, the new Luxembourg licence will enable the group to meet the needs of clients across Europe. This is even after Britain’s exit from the EU bloc this year.
Commenting on the new development, minister of finance in Luxembourg Pierre Gramegna said: “Alipay’s presence is a welcome addition to Luxembourg’s financial ecosystem and will further consolidate its position as a leading European hub for fintech and ecommerce.
“It will considerably contribute to the strengthening ties between Europe and China.”
The latest news comes shortly after Google’s receipt of a payments licence in Ireland.
In June 2018, Ant Financial raised around $14bn from a group of investors. Subsequently, the new funds will expand the usage of Alipay to new regions.
Meanwhile, earlier last year, Alipay was fined RMB180,000 ($26,483.06) by the People’s Bank of China Hangzhou Central Sub-branch for inadequate customer rights protection, misleading product promotion in video campaigns and social media.