Shriram Finance Limited (SFL) has successfully raised over $306 million from various multilateral and bilateral development financial institutions through External Commercial Borrowings (ECB). This milestone comes under the company’s Social Finance Framework, aimed at strengthening financial inclusion and supporting sustainable development initiatives.
The funding round saw participation from leading global financial institutions, including the Asian Development Bank (ADB), Japan International Cooperation Agency (JICA), and Exim Bank of India (EXIM), marking another key step in SFL’s efforts to diversify its funding sources while optimizing costs.
Focus on MSMEs, green financing, and women’s entrepreneurship
SFL plans to utilize the funds to expand access to finance for Micro, Small, and Medium Enterprises (MSMEs), supporting key areas such as business loans, electric vehicles (EVs), low-emission commercial vehicles, and women-led enterprises. Additionally, its collaboration with EXIM Bank of India will facilitate financing for MSME exporters, further broadening SFL’s lending portfolio into global markets.
Strengthening India’s financial inclusion and sustainability
With this latest capital raise, SFL has secured over $2.8 billion in offshore funding in the current financial year, following its $500 million SACE Push facility in February and the $1.2 billion syndication facility in December 2024. These investments underscore the company’s leadership in structured finance and sustainable funding initiatives.
Umesh Revankar, Executive Vice Chairman of Shriram Finance, commented,
“This transaction marks another milestone in our journey to strengthen financial inclusion and sustainable growth. Partnering with esteemed global institutions like ADB, JICA, and EXIM enables us to empower MSMEs, promote green financing, and drive economic progress. The confidence shown by these institutions reinforces our commitment to providing innovative financial solutions that create meaningful impact across communities.”
ADB Country Director for India, Mio Oka, added,
“This project underscores ADB’s commitment to promoting financial inclusion and sustainable development in India. By partnering with Shriram Finance Limited, we aim to empower MSMEs, particularly women entrepreneurs, and accelerate India’s transition to electric mobility.”
About Shriram Finance Limited
Shriram Finance is a leading Non-Banking Finance Company (NBFC) in India, catering to small business owners, road transport operators, and vehicle financing. With ₹2.54 trillion in Assets Under Management (AUM) and a network of 3,196 branches serving over 94 lakh customers, the company continues to play a pivotal role in India’s financial ecosystem.
