IFC to invest $20 million in FlexiLoans.

The International Finance Corporation (IFC), part of the World Bank Group, will invest up to $20 million in Epimoney Pvt Ltd, the parent company of Mumbai-based FlexiLoans. 

Funding Utilisation

The investment will help FlexiLoans grow and make it easier for more MSMEs to access the capital they need. IFC also plans to support FlexiLoans in improving its corporate governance, loan operations, and risk management as the business expands.

The disclosure added, “IFC’s additionality in the Project is expected to be non-financial. On one hand, IFC intends to provide guidance and support as the Company further institutionalizes its corporate governance. On the other hand, IFC, with the involvement of IFC banking specialist, will help the Company strengthen its loan operation and risk management practices as its business continues to scale.”

In September, FlexiLoans raised Rs 290 crore in Series C funding from Accion, Fundamentum, Nuveen, and Maj Inves to grow its operations and strengthen its financial position.

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With this round, FlexiLoans has now raised a total of Rs 636 crore in equity and over Rs 2,000 crore in debt. The company offers two main types of loans, with an average loan size of Rs 6 lakh:

1. EMI-based loans with repayment periods between 12 and 36 months.
2. Invoice financing, which provides short-term credit with repayment terms of 30 to 90 days.

FlexiLoans has provided over 1 lakh loans, totaling more than Rs 7,000 crore, and has reached over 15,000 Indian pin codes through 100% digital processes, without any physical branches.

The company has partnered with major e-commerce and payment platforms like Flipkart, Amazon, Paytm, and PhonePe, making loan origination easy within these platforms.

About IFC

IFC, part of the World Bank Group, is the world’s largest development institution focused on the private sector in developing countries. It offers customized solutions using its own products and services, as well as those from other World Bank institutions.

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