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

A five-year External Commercial Borrowing (ECB) loan is part of SFL’s Social Finance Framework. The fund will enable SFL to provide credit for purchasing new and used vehicles across India. Proceeds from ADB can be used to finance the purchase of BS VI-compliant electric vehicles, mainly to provide funding for women entrepreneurs to meet the needs of underdeveloped countries in the country and improve the situation of underserved communities in India.

SFL also raised $250 million in 2022 through 144A bonds from the US Development Finance Corporation and $475 million from international markets, diversifying its funding position and continuing to achieve its financial inclusion goals.

“SFL’s success in securing international funding from the regional development bank Asian Development Bank adds to our strength and stability. We will finance the purchase of vehicles and equipment in new and untapped markets to provide business opportunities and create jobs. This will enable more communities in peri-urban and rural areas to optimize their income and have a better quality of life,” said Umesh Revankar, Executive Vice Chairman of Shriram Finance.