Federal Bank, Avanti Finance To Provide Income Generation Loans Under Co-lending Partnership

Avanti’s lending platform will leverage Federal Bank to serve this segment of borrowers in more than 20 states across the country

Federal Bank and Avanti Finance have entered into a co-lending partnership to enable hassle-free and affordable credit access to rural underserved borrowers. Avanti’s lending platform will leverage Federal Bank to serve this segment of borrowers in more than 20 states across the country.

The co-lending partnership with Federal Bank is another big step for us in our mission to serve the credit needs of the next 100 million households in India. Federal Bank, with its strong orientation to digital financial products & commitment to financial inclusion is an ideal partner for us to build a scalable and impactful programme in rural areas,” said Rahul Gupta, CEO, Avanti Finance. 

The programme has been launched in Odisha, Maharashtra and Bihar in the pilot phase with ambitious plans of scaling it pan-India and disbursing INR 500 crores annually benefitting over 100,000 households, he added.

The partnership is aimed at the development of fit for purpose loan products that cater to the specific needs of underserved communities, promoting financial inclusion and supporting livelihood sustainability, the statement added.