CreditAccess Grameen Secures USD 50 Million from International Finance Corporation IFC to Promote Financial Inclusion for Underserved
IFC’s investment will help enhance access to finance for microentrepreneurs with a particular focus on women borrowers engaged in agriculture and agri-related activities. The funding will help CA Grameen reach 3-4 million additional women borrowers over the lifecycle of the project. Micro, small, and medium-sized enterprises (MSMEs) are crucial to India’s economy but often face a financing gap. With an estimated $333 billion gap in MSME financing - 95% of which is attributed to micro and small enterprises - this investment seeks to bridge these gaps by amplifying access to credit, empowering microentrepreneurs, and driving economic growth. Further, IFC will help CA Grameen diversify and strengthen its liability profile to include long tenor financing.
Driven by a customer-centric and employee-first approach, CA Grameen as a leader in the inclusive finance space has demonstrated unparalleled agility through various economic cycles. The company adheres to the IFC Exclusion List and upholds Client Protection Principles promoted by Cerise+ SPTF (Social Performance Task Force) - a platform for social and environmental performance management in inclusive finance - ensuring all business practices are socially responsible. Their unwavering commitment to responsible finance has been central to driving inclusive growth.
Mr. Nilesh Dalvi, Chief Financial Officer of CreditAccess Grameen, said, "We deeply value our enduring partnership with IFC, whose continued support has been instrumental in our growth journey. With this USD 50 million commitment from IFC under the external commercial borrowing (ECB) route, we are firmly moving towards our FY28 medium-term strategy of sourcing 25%-30% of funds from foreign sources while maintaining strong control over our average cost of borrowings. We remain confident in our ability to deliver innovative financial solutions to underserved communities while ensuring resilience in an ever-changing market landscape.”
Sharing her views, Ms. Wendy Werner, IFC Country Head for India and Maldives, remarked, “Financial inclusion is a key driver of economic and social development especially in agriculture sector. Our long-standing partnership with CA Grameen aims to address barriers to accessing financial products and services, while also improving their usage and quality. IFC's investment will foster greater competitiveness within India’s financial sector and we look forward to supporting the company in long-term. Together, we will help bring more individuals engaged in agriculture and agri-related activities into the formal economy, encourage the growth of women owned micro-enterprise portfolios, particularly targeting underserved and harder-to-reach rural areas.”
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