 "L&T Finance inks pact with Asian Development Bank for $125 mn funds")
L&T Finance, the Non-Banking Financial Company (NBFC), signed a financing agreement with the Asian Development Bank (ADB) on 23 November for $125 million to support financing in rural and peri-urban areas, particularly for women borrowers.
According to the press release, apart from the funding of $125 million from ADB, it also includes an agreement to syndicate an additional $125 million co-financing from other development partners.
Out of the proceeds, 40 per cent is allocated for women borrowers, while the rest will support farmers and MSMEs, as well as loans to purchase new two-wheeled vehicles, the release stated.
The project is strategically aligned with the goals of the Ministry of Rural Development as it focuses on lending in rural and peri-urban areas of lagging Indian states.