Wednesday, July 26, 2023

Dvara KGFS And HDFC Bank Enter Into A Co-Lending Agreement For Micro Business Units In Rural India


Dvara KGFS and HDFC Bank have entered a co-lending partnership aimed at providing business capital to micro business units operating primarily in the unorganized sector. These businesses often face limited access to formal sources of finance. 

Dvara KGFS launched its exclusive Enterprise Loans vertical in 2020, focusing on 3 primary value chains i.e.: grocery, dairy, and agri. To date, the company has assisted numerous beneficiaries with working capital and business growth loans, improving their livelihood generation capabilities and facilitating their inclusion in the Indian economy. 

In line with its ambitious plans for this year's Annual Operating Plan (AOP), Dvara KGFS seeks to extend credit to micro businesses across the 10 states that it serves. This collaboration with HDFC Bank will help Dvara KGFS realize its ambitions.  

Mr. LVLN Murty, MD, and CEO of Dvara KGFS expressed his enthusiasm about the partnership, stating, "We are excited to join forces with one of the largest and leading financial institutions in the country. This engagement will enhance our capabilities in empowering micro businesses operating in rural areas." 

Mr. K. Venkatesh, Executive Vice President and Business Head, Sustainable Livelihood Initiative, HDFC Bank said, “At HDFC Bank, our aim has always been to provide ease in accessing credit and finance. In this pursuit, we are happy to partner with Dvara KGFS which will serve to increase the credit flow to the under penetrated areas and encourage the beneficiaries to become self-reliant”.  

The co-lending form of collaboration is seeing good traction and demand in recent times and this partnership is another indication of this growing trend. The partnership brings to fore the synergies between the two organizations in terms of Dvara KGFS’s strong rural origination capabilities and understanding of rural markets combined with HDFC Bank’s brand, financial strength, and strong risk framework.  

About Dvara KGFS:  

Dvara KGFS, a systematically important NBFC in the Dvara Group regulated by RBI, works with a mission to maximise the financial well-being of every individual and every enterprise by providing complete access to financial services in remote rural India. Dvara KGFS has a strong presence in Tamil Nadu, Uttarakhand, Karnataka, Chhattisgarh, Jharkhand and Odisha, spread across 48 Districts with 308 branches and more than 1.1 million enrolled customers.  

Click here to know more: www.dvarakgfs.com 

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