Private sector lender Yes Bank today said it has raised USD 200 million in an unsecured loan...
Private sector lender Yes Bank today said it has raised USD 200 million in an unsecured loan from Asian Development Bank for onlending to small farm households and rural womens’ self help groups (SHG).
The money will be used for onlending in rupee equivalent amounts to finance working capital and investment requirements of the twin target groups, it said.
“ADB’s capital investment and technical assistance will provide sustainable finance to low income women and their families. The project targets small farmers to allow them to benefit from agricultural value chains and enhance their productivity through better access to markets and investment finance,” Todd Freeland, Director General at ADB Private Sector Operations, said.
Yes Bank’s chief executive and managing director Rana Kapoor said the deal should be seen as one which reiterates its focus on responsible banking and furthering the financial inclusion agenda.
Financial details like the landing cost of the money, including interest and hedging cost, of the money were not made available immediately.
Apart from the unsecured loan, Yes Bank said ADB will also provide a Capacity Development Technical Assistance grant up to USD 1 million, which will be used for capacity building and improving the financial literacy of women borrowers.