CredAvenue eyes transaction of Rs 500 cr by 2022

     Chennai, Aug 18 (PTI): Leading provider of debt facilitator platform CredAvenue is eyeing to increase its monthly co-lending partnership volume to Rs 500 crore by year 2022 and Rs 2,000 crore by 2023, the company said on Wednesday.
     CredAvenue, said to be the first-of-its-kind co-lending platform, brings public and private sector banks, foreign banks and large non-banking finance companies together.
"Currently, CredAvenue facilitates a monthly co-lending partnership volume of Rs 150 crore. It aims to hike this to Rs 500 crore by 2022 and Rs 2,000 crore by 2023," a statement from the company said here.
     According to the company, the co-lending partnerships were currently driven on a 1:1 basis where banks and non-banking finance companies forge individual partnerships with financial technology brands and retail non-banking financial companies (NBFCs) but it was difficult to scale given the integration effort required.
     CredAvenue platform helps the banks, NBFCs and FinTech platforms to leverage technology and drive synergies. The platform was integrated with over 28 partners and lenders and plans to have an eco system of over 250 partners integrated by 2022, the statement said.
     In 2020, the Reserve Bank of India made an announcement of the co-lending model scheme under which the banks, along with NBFCs, could provide loans to priority sector borrowers based on an agreement. The move was aimed to improve the flow of credit to the under-served sectors of the economy.
     Banks and NBFCs were able to forge only one partnership at a time. CredAvenue's platform helps banks and NBFCs drive 20-30 conversations leading to increase in disbursements, the statement said.
     CredAvenue currently has over 1,500 corporate, 750-plus lenders and has facilitated debt volume of over Rs 65,000 crore, the statement added. PTI VIJ

(This story has not been edited by THE WEEK and is auto-generated from PTI)