CreditAccess Grameen syndicates social loan facility of up to $200 mn

CreditAccess Grameen, Non-Banking Financial Company-Micro Finance Institution (NBFC-MFI), on Tuesday said it has signed a historic syndicated social loan facility of up to $200 million (about Rs 1,640 crore).

This will qualify as External Commercial Borrowing (ECB) under the automatic route of the RBI, the company said in a statement.

The company has received $160 million in commitments to date, along with a green-shoe option to raise an additional $40 million, exercisable over 120 days from the date of signing of the facility agreement, it said.

It has currently drawn $100 million, and the remaining commitments would be drawn over the coming months, it added.

The social loan shall abide by the company's social loan framework which aligns with the Social Loan Principles 2023, stipulating the use of proceeds, social development goals and governance, according to the loan market association, it added.