By the end of July 2018, Aditya Birla Finance Limited (ABFL) will be present in 50 cities (Tier I, II and III) across India, growing from tapping 70% of small-medium enterprises’ (SMEs) demand for credit, at present, to 85% of the SME credit pool. The company has grown its lending book by 25% to INR 432.4 billion (US$ 6.33bn) at the end of FY2018, with 27% of ABFLs credit products being sold to SMEs.
“The biggest challenge is to have a uniformity in terms of quality, culture and risk management across all our branches. Our biggest strength is that we strive our best to maintain this uniformity,” says Rakesh Singh, chief executive officer at ABFL.
Large corporates make up 33% of ABFLs lending book, followed by mid-corporates at 17% and retail customers at 11%.
The company sees the SME segment as the primary engine of growth over the coming years.
