Several Chinese lending platforms including Billion Finance, and iTouzi; and fintech companies such as Finup, Fenqile and CashBus have held discussions with local companies.

James Chan, chief executive for Asia-Pacific at WeCash, said: “We started looking at the India market in October. I have made several trips to do the groundwork for our market entry since then.”

According to Economic Times, Chinese smartphone maker Xiaomi invested in Bangalore-based KrazyBee, a micro-lending platform. In addition, the company has also invested in ZestMoney.

“Despite being prepared for the regulatory change, everyone felt its shockwaves, albeit at varying levels,” added Chan.

Sachin Seth, partner for fintech at advisory firm EY,said: “There is a big opportunity in the consumer-lending space in India. (Alibaba-backed) Paytm being the only big fintech player here can give further impetus for other Chinese players (to enter India).”