More than a third of small and medium-sized businesses on Facebook In India, cash flow will be a challenge for them as they navigate the coronavirus pandemic in the next few months, according to a report by the Organization for Economic Co-operation and Development (OECD) and the World Bank.
Facebook, which reaches almost all internet users in India and worked with the OECD and the World Bank on the report, wants to help. The social giant today announced a $ 4.3 million grant to more than 3,000 small businesses in Delhi, Gurgaon, Mumbai, Hyderabad and Bangalore (Indian cities where the company has offices).
In an interview with TechCrunch, Ajit Mohan, head of Facebook India, said the grant includes both cash and ad credits, with cash making up the larger portion. These companies don̵
The India grant is part of the company’s $ 100 million global small business grant announced in March.
In addition, Facebook and Instagram have introduced capabilities for businesses in India to sell gift cards. “During the pandemic, it was inspiring to see how people and companies came together in the Facebook family of apps to support their local communities,” Mohan said. (Mohan will appear at the Disrupt 2020 conference on Wednesday.)
Issued by startups Quiksilver and PayU, these gift cards are designed to help businesses get the immediate cash flow to stay afloat. Users can later redeem these gift cards at these companies.
Today’s announcement comes as Facebook begins to delve into small businesses in the country. The company invested $ 5.7 billion in Jio Platforms earlier this year and said it would work with the Indian giant to explore ways to serve the country’s 60 million businesses.
“Small business recovery from the pandemic will be vital to the recovery of the Indian economy and we want to do all we can to help. Today we are building on our commitment by announcing the small business grant for India, ”said Mohan.
Companies can apply for the grant starting today.