IIFL Home Finance inks pact with Asian Development Bank for a $300 million loan syndication
Kolkata: IIFL Home Finance has signed a $300 million loan agreement with the Asian Development Bank for onlending to lower income borrowers.
The loan marks the mortgage lender's first syndicated external commercial borrowing, the company said Friday.
ADB, the mandated lead arranger and bookrunner for the arrangement, will itself put in $150 million. There will be another $150 million parallel loans from Japan's MUFG, Emirates Bank and Sri Lanka's Sampath Bank and Hatton National Bank.
“ADB’s funding will help extend affordable housing to deeper markets and support the homeownership aspirations of low-income and economically weaker families, especially women," IIFL Home Finance managing director Girish Kousgi said.
IIFL Home Finance will on-lend the loan proceeds to provide mortgages to women in low-income communities in semi-urban and urban areas and in lagging states of India, including a target of over 25% of the loan proceeds for green-certified affordable homes.
India is estimated to have a housing shortage of 31 million units by 2030, mostly affecting low-income groups.
“India’s affordable housing deficit is most pronounced among economically weaker and low‑income households, particularly women, who constitute only 13% of homeowners," ADB country director for India, Mio Oka, was quoted as saying in a statement issued by IIFL Home Finance.
The local lender had Rs 39,628 crore assets under management at the end of December last year.
The loan marks the mortgage lender's first syndicated external commercial borrowing, the company said Friday.
ADB, the mandated lead arranger and bookrunner for the arrangement, will itself put in $150 million. There will be another $150 million parallel loans from Japan's MUFG, Emirates Bank and Sri Lanka's Sampath Bank and Hatton National Bank.
“ADB’s funding will help extend affordable housing to deeper markets and support the homeownership aspirations of low-income and economically weaker families, especially women," IIFL Home Finance managing director Girish Kousgi said.
IIFL Home Finance will on-lend the loan proceeds to provide mortgages to women in low-income communities in semi-urban and urban areas and in lagging states of India, including a target of over 25% of the loan proceeds for green-certified affordable homes.
India is estimated to have a housing shortage of 31 million units by 2030, mostly affecting low-income groups.
“India’s affordable housing deficit is most pronounced among economically weaker and low‑income households, particularly women, who constitute only 13% of homeowners," ADB country director for India, Mio Oka, was quoted as saying in a statement issued by IIFL Home Finance.
The local lender had Rs 39,628 crore assets under management at the end of December last year.
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