NEW DELHI: International Finance Corporation (IFC), the World Bank’s private sector-focused investment arm, has anchored an investment round of $222 million for Murugappa Group’s non-banking financial company- Cholamandalam Investment and Finance Company Ltd (CIFCL).
Of the total amount, $92 million is from IFC’s own account and the rest is syndicated from First Abu Dhabi Bank ($50 million), MUFG Bank Ltd ($50 million), National Bank of Ras Al-Khaimah PJSC ($20 million), and CTBC Bank Co., Ltd ($10 million). This is IFC’s third investment in Cholamandalam after funding rounds in 2010 and 2014.
According to IFC, this funding will help CIFCL expand access to finance for micro and small borrowers, especially in rural and semi-urban parts of India. The core business of CIFCL is providing commercial vehicle finance.