Alipay, part of Alibaba, has been granted an electronic money licence in Luxembourg, and has set up a new entity in the country: Alipay (Europe).
Luxembourg Minister of Finance Pierre Gramegna announced this event during his visit in Hong Kong, in the presence of Chen Leiming, general counsel of Ant Financial Services Group.
Minister Gramegna comments: “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 e-commerce. It will considerably contribute to the strengthening ties between Europe and China.”
This comes at a time in which a major American giant, Google, also got a payment licence in Europe. Particularly, in Ireland.
Alipay is already in the UK, but it is expected that its licence in Luxembourg will allow the group to serve customers across Europe and link up Chinese consumers with European merchants.
In related news, Ant Financial, which is partly owned by Alibaba, is rumoured to be looking to acquire British currency exchange start-up WorldFirst for around £550 million, in its expansion quest in Europe.