Ambit Finvest has announced the signing of a co-lending agreement with Union Bank of India (UBI) for financing to Micro, Small and Medium Enterprise (MSME) customers. Ambit Finvest is the Ambit Group’s non-deposit-taking Non-Banking Financial Company (NBFC). This collaboration will enable underwriting for businesses in 11 states now served by Ambit Finvest. Ambit Finvest and Union Bank of India hope to speed up credit disbursement across multiple geographies with this partnership, according to Sanjay Dhoka, COO and CFO of Ambit Finvest.
- MSMEs that face higher interest rates or are unable to access banking services would benefit from lower rates of interest, which will translate into cheaper cost of funds, allowing them to deploy capital more effectively in their businesses, according to the company’s statement.
- Lal Singh, Union Bank’s CGM, said that the collaboration with Ambit Finvest Pvt Ltd. is part of UBI’s aim to create synergy between the two organisations, allowing us to better serve the most deserving and underserved enterprises.
- Lal Singh also added that the effort is part of Union Bank’s commitment to support MSMEs by offering tailored financial solutions and speeding MSMEs’ growth in order to contribute to the country’s economic development
- Ambit Finvest will be able to further grow its reach in the MSME category as a result of its co-lending agreement with a large organisation like Union Bank of India, according to Dhoka.