Shriram Finance gets $100 mn funding from ADB for inclusive financing | Business Standard News

Clipped from: https://www.business-standard.com/article/finance/shriram-finance-gets-100-mn-funding-from-adb-for-inclusive-financing-122123000563_1.html

Money will be used improve the status of underserved communities in India, other objectives

Shriram Finance

Shriram Finance (SFL), India’s largest retail NBFC and a part of the Shriram Group, has secured a long-term funding of $100 million from the Asian Development Bank (ADB).

The five-year external commercial borrowing (ECB) loan is under SFL’s social finance framework. The fund will enable SFL to provide credit for the purchase of new and used vehicles throughout India. Proceeds from ADB can be used to finance the purchase of BS VI compliant and electric vehicles, specifically by women entrepreneurs, cater to under-developed states of the country, and improve the status of underserved communities in India.

SFL has also raised $250 million from the US Development Finance Corporation and $475 million through a 144A Bond from the international market in 2022, diversifying its funding profile and continuing its objectives for financial inclusion.

“SFL’s success in securing international funding from ADB, a regional development bank, is an enhancement to our strength and stability. We will finance the buying of vehicles and equipment in new and untapped markets to provide business opportunities and generate employment. This would empower more communities in semi urban and rural areas to optimize their income and to have a better quality of life,” said Umesh Revankar, executive vice chairman, Shriram Finance.

“SFL’s success in securing international funding from ADB, a regional development bank, is an enhancement to our strength and stability. We will help fund more used vehicles into new markets and provide funding towards employment generation in rural areas and empower more communities to optimize their income and have a better quality of life,” he said.

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