Shriram Finance Secures $1.27 Billion in Record Multi-Currency Loan

Shriram Finance announced it had raised $1.27 billion through a syndicated external commercial borrowing (ECB), the largest loan of its kind secured by an Indian private non-banking financial company (NBFC).

Loan Details

The multi-currency loan was arranged by 12 top banks, including the International Finance Corporation (IFC), and has a maximum tenure of 5 years. It is structured as a social loan, with $1.15 billion in US dollars, 275 million in Dirhams, and 50 million in Euros.

Key Banking Partners

Prominent banks such as DBS Bank, First Abu Dhabi Bank, HSBC, MUFG Bank, Standard Chartered Bank, and Sumitomo Mitsui Banking Corporation participated in the loan. Emirates NBD Bank acted as a lead arranger, underwriter, and bookrunner. BNP Paribas, CTBC Bank, Deutsche Bank, and Kotak Mahindra Bank also contributed as lead arrangers.

Supporting Inclusive Growth

The funds will be used to empower small entrepreneurs and support vulnerable groups in India, aligning with Shriram Finance’s goal of inclusive growth.

Global Recognition and Diversification

This facility reflects the growing trust of global lenders in Shriram Finance’s vision and marks an expansion of its international lender base. It also aligns with the company’s strategy to diversify funding sources while keeping costs efficient.

Earlier, Shriram Finance secured $468 million and $404 million through ECB loans in 2023.

About Shriram Finance

Shriram Finance, India’s second-largest NBFC with assets under management of over ₹2.43 trillion, offers various credit solutions, including loans for commercial vehicles, two-wheelers, cars, homes, gold, personal needs, and small businesses.

As of 10:23 AM on December 19, Shriram Finance share price is trading at ₹2,888.85, down ₹42.55 or 1.45%. The stock opened at ₹2,870.00, reached a high of ₹2,910.00, and a low of ₹2,853.30.

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