UTRECHT | In 2011, China's online third-party payment services turned over more than USD137.5 billion (CNY 2 trillion) in 2011, a recent report has unveiled.
According to a study revealed by research firm Analysys International, in Q4 2011 online payments in China have reached USD 117.3 billion (CNY 738.6 billion), up by 30.9 percent from Q3 2011.
The same source has indicated that the growth witnessed by the internet-based third party payment segment is a result of an increasing demand for online shopping, travel booking and gaming.
Research has also pointed out that Alipay, an affiliate of Alibaba Group, took 46 percent of the total online payments, while internet company Tencent lags over 20 percent points behind.
According to the results, another important factor that led to an increase in online payment was the government’s action to add new players to the market. In 2011, the People's Bank of China (PBOC) granted over 70 new licenses to non-financial organizations engaged in payment and settlement businesses. To date, PBOC has granted more than 100 such licenses.