TruCap and HDFC forge co-lending alliance for MSME and gold loans

Posted under: MSME
Date: 2023-09-21
TruCap and HDFC forge co-lending alliance for MSME and gold loans

TrueCap Finance Ltd’s shares were up by 2.59 percent after the company announced a co-lending partnership with HDFC Bank, which has embarked on extending quality credit solutions to underserved borrowers. Leveraging TruCap’s Lending-as-a-Service (L-a-a-S) model, the collaboration will primarily cater to borrowers in non-urban areas by providing MSME business loans and gold loans. Industry estimates indicate that the MSME sector’s total credit demand stands at ₹69.3 trillion, with formal sources addressing less than 15 percent of this demand. The collaboration with HDFC Bank holds the potential to drive financial inclusion and empowerment, particularly for women-led businesses. This network positions TRU to deliver solutions to small businesses. The collaboration underscores a concerted effort to address the critical financing needs of underserved businesses.