Dutch entrepreneurial development bank FMO has provided Rs 250 crore (approximately $30 million) in debt financing to MSME lender Aye Finance.
This most recent funding from the FMO will be crucial in enabling us to rapidly expand lending endeavors and integrate the grassroots businesses that are the foundation of the Indian economy into the structure of organized lending.
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In March, Aye Finance obtained 15 million euros ($16.2 million) in debt financing, or approximately Rs 137 crore, from German impact investor Invest in Vision’s private funds, which include IIV Mikrofinanzfonds.
Aye Finance has provided over Rs 12,000 crore in small-ticket loans to more than nine lakh enterprises.
In FY2023-24, Aye Finance’s profit after tax (PAT) nearly tripled to Rs 161 crore from Rs 57 crore in the previous fiscal year.
Krishan Gopal, CFO, Aye Finance, said: “Our association with FMO dates back to 2019 and through our collaborative efforts, we have been making affordable credit a reality for the ignored segment of micro-enterprises in India,”
About Aye Finance
Founded in 2013 by Sanjay Sharma, Aye Finance is a new-age finance company providing business loans to small and micro enterprises across India.
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