Credit and Finance for MSMEs: Microfinance startup Satya MicroCapital has raised a fresh round of equity capital. The firm has now secured Rs 153.25 crore from current backer Japan-based effect investor Gojo & Company Inc. about six months immediately after it raised Rs 72.5 crore from Swiss effect fund BlueOrchard Finance. Gojo & Company had earlier backed Satya with Rs 105 crore round in May 2020. The most current investment requires the total fundraising by the firm, which has offered microloans to more than 4.5 lakhs micro girls entrepreneurs across 21 states in the nation, to Rs 260 crore. “The infusion we have got so far is the biggest investment received by any microfinance institution during such difficult times in the industry,” Vivek Tiwari, MD, CEO & CIO, Satya MicroCapital told TheSpuzz Online.
The firm at present has more than 170 branches catering to individuals who seek credit assist for their earnings generation and earnings development objective in sectors such as agriculture, animal husbandry, business enterprise/trade, production/services, and water sanitation purposes. Satya Microcapital is addressing the monetary inclusion chance “emblematic approach to traditional microfinance by directing extensive emphasis on leveraging technology to improvise the customer experience along with reducing operational costs,” the firm stated announcing the fundraising on Wednesday.
Also study: Reliance expands e-commerce arm JioMart to jewellery gives free shipping
“Self-employed women residing in rural & sub-urban hinterlands constitute our clientele. COVID-19 has induced a compelling threat to their livelihoods. We will be utilising this funding to render essential credit services to women micro-entrepreneurs for their livelihood reformation via our extensive operational network,” stated Tiwari. “Vivek used the lockdown period very well to strengthen the organization’s ability to make use of technology infrastructure for a better client experience. Now, with business slowly returning back to normal, SATYA is well poised to resume its climb towards becoming one of the largest and the most admired NBFC-MFI,” stated Sanjay Gandhi –Founder and Chief Investment Officer, Gojo & Company. The effect investment firm is a holding firm of MFIs globally that appears to supply monetary access to individuals in building nations.
The microfinance industry in India saw 31 per cent development in FY20, a report by microfinance market body Sa-Dhan had stated in November final year. The market registered loan portfolio outstanding of Rs 2,36,427 crore as of March 31, 2020, based on the information from 252 lenders such as NBFCs, SFBs, banks MFIs, and not-for-profit MFIs.