MUDRA In­vests in Janalak­shmi Se­cu­ri­tised Debt

The Economic Times - - Economy & Companies - Our Bureau

Kolkata: MUDRA Bank has in­vested .₹ 50 crore in a se­cu­ri­ti­sa­tion deal with Janalak­shmi Fi­nan­cial Ser­vices, help­ing re­lease cap­i­tal for the mi­cro lender which is busy in small fi­nance bank prepa­ra­tion, re­ports At­madip Ray.

This marks MUDRA’s first-ever par­tic­i­pa­tion in a cap­i­tal mar­ket deal as the MSME loan fa­cil­i­ta­tor looks to ex­plore life be­yond re­fi­nance given to lenders against their ex­ist­ing loans. MUDRA Bank has been the out­come of govern­ment’s ini­tia­tive to in­crease lend­ing to­wards small busi­nesses.

Its chief ex­ec­u­tive Jiji Mam­men told ET that the newly formed re­fi­nanc­ing bank was try­ing out new in­stru­ments to help MSMEs ac­cess cap­i­tal mar­ket. “This (se­cu­ri­ti­sa­tion) is some­thing which is so­phis­ti­cated and we would like to fa­cil­i­tate the mar­ket grow by in­vest­ing in such in­stru­ments,” Mam­men said. MUDRA has in­vested in se­cu­ri­tised MSME loan port­fo­lio of Janalak­shmi. Th­ese are short-term loans with 1.5-year ma­tu­rity. Mam­men said the in­vest­ment is done at around10% rate.

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.