Flipkart ’s accrued loss bigger than Modi’s allocation for 1 crore affordable houses. (Image: PTI)

Indian e-Commerce major Flipkart’s accumulated loss as of March 2017 stood at Rs 24,000 crore, a thousand crore more than Narendra Modi government’s entire one year allocated Budget for building 1 crore affordable houses in India. According to a filing on Singapore exchanges, Flipkart’s accrued loss more than doubled to Rs 24,000 from Rs 10,000 a year ago. In Budget 2017, Arun Jaitley allocated Rs 23,000 crore for building 1 crore affordable houses by 2019 under Pradhan Mantri Awas Yojna.

As per media reports, Flipkart’s losses increased 68% to Rs 8,771.4 crore during 2017. The e-commerce platform is facing cut-throat competition from global giant Amazon and Alibaba-backed Paytm Mall. Flipkart’s is making loss even after Japan’s Soft Bank via its Vision fund invested about $2.5 billion in the company for a 20% stake in the e-commerce firm in 2017. In March this year, Flipkart India received almost Rs 4,500 crore from its parent company based in Singapore.

Flipkart’s deteriorating financial health made mutual fund investor Valic mark down its valuation to about $7.9 billion in November 2017, much less than $11.6 billion which was after raising funds earlier in 2017. News agency PTI in January reported that with eyes set on the Indian market, global retail giant Walmart could pick up 15% to 20% staked in Flipkart.

Meanwhile, Flipkart said that it is ending its two-year-long hiring freeze and will open 700 vacancies mostly in its tech and data segment. Flipkart was founded in 2007 and run on a complex business model some operating in India and some from Singapore. To step up its business, Flipkart announced Billion Capture+ plan under which will make its debut in Indian smartphone market. Flipkart’s smartphones will compete with devices from the stables of Samsung, Xiaomi, Lenovo, Micromax and others