Shriram Finance raises $306 million from DFIs

Shadow bank Shriram Finance Ltd (SFL) on Monday said it secured $306 million from various multilateral and bilateral development financial institutions (DFIs), including Asian Development Bank (ADB).

Japan International Cooperation Agency (JICA) and Exim Bank of India (EXIM) also took part in the latest facility, availed under SFL’s social finance framework, a statement said.

The transaction strengthens SFL’s position as a leader in offshore fundraising and underscores its strategic focus on diversifying funding sources while optimizing costs, Shriram Finance said in a statement.

With the latest transaction, SFL has raised over $2.8 billion in offshore funding in the current fiscal, cementing its leadership in structured finance and sustainable funding initiatives, Umesh Revankar, executive vice-chairman of Shriram Finance, said.

The project underscores ADB’s commitment to promoting financial inclusion and sustainable development in India while addressing the financing gap faced by small businesses, ADB director for India Mio Oka said.