Dvara KGFS has raised $27 million in debt funds. This financial boost will augment the company’s liquidity and accelerate its growth plans, the company notified via a statement.
Speaking about the funding, LVLN Murty, Managing Director (MD) and Chief Executive Officer (CEO), Dvara KGFS, said in the statement, “Dvara KGFS, being a rural fintech, aims to provide holistic financial services to its customers, empowering them to enhance their financial well-being and lifetime value. The funds raised will enable us to expand our reach and impact, driving Financial Inclusion (FI) in rural India.”
The company secured $20 million in the form of External Commercial Borrowings (ECB) from NEDERLANDSE FINANCIERINGS-MAATSCHAPPIJ VOOR ONTWIKKELINGSLANDEN N.V (FMO), a Dutch entrepreneurial development bank committed to create development impact and $7 million was raised from ENABLING QAPITAL Luxembourg SA. This funding is a testament to the impact that Dvara KGFS is creating in the FI space in India and will open more avenues for global partnerships, the statement added.
It further mentioned that the company aims to utilise the proceeds of the ECBs towards its onward lending programme, focussing on supporting microfinance and microbusiness loans for customers in regions with limited access to formal credit channels. This initiative further fortifies the company’s mission to extend comprehensive financial services to underserved rural communities.
Shilpa Bhatter, Chief Financial Officer (CFO), Dvara KGFS, added, “This fundraising not only diversifies our lender profile, but also strengthens our presence in the foreign debt market, unlocking access to lower-cost debt and ensuring a sustainable growth path for Dvara KGFS.”
