Groundbreaking Partnership Boosts Credit Access for Indian Small Enterprises

Annapurna Finance, British International Investment, and FinReach Solutions enter a trailblazing partnership aimed at enhancing financial services for over 4,000 underserved micro and small enterprises (MSEs) in India. The collaboration introduces a first-of-its-kind credit guarantee, increasing Annapurna Finance's loan book by INR 100 crore and promoting inclusive economic growth.

Annapurna Finance, in an historic agreement with British International Investment (BII) and FinReach Solutions, has forged a pioneering partnership that promises to revolutionize financial services for micro and small enterprises (MSEs) in India. This innovative collaboration marks the first credit guarantee extended by a Development Finance Institution (DFI) to a Non-Banking Financial Company - Microfinance Institution (NBFC-MFI), aiming to boost Annapurna Finance's loan book by INR 100 crore.

Mr. Gobinda Chandra Pattanaik, Managing Director of Annapurna Finance, expressed that this partnership will substantially drive financial inclusion, particularly in underserved regions of Eastern India. Through this initiative, over 4,000 MSEs will gain enhanced access to credit, enabling them to scale operations and contribute to sustainable development.

Mr. Gaurav Malhotra of BII hailed the credit guarantee as a strategic effort to create an inclusive financial ecosystem. FinReach Solutions' Ms. Suvalaxmi Chakraborty emphasized the broader economic empowerment the program aims to deliver, setting a new standard in the credit guarantee market.

(With inputs from agencies.)