CreditAccess Grameen Secures USD 75 Million Social Loan Facility
Filing Summary
CreditAccess Grameen Limited has secured a USD 75 million syndicated social loan facility, classified as an External Commercial Borrowing under the Reserve Bank of India’s automatic route. HSBC served as the Sole Mandated Lead Arranger and Bookrunner, with participation from HSBC (Gift City), Doha Bank, State Bank (Mauritius) Ltd., Bank of China Ltd., and National Development Bank Plc. The funds will be used under the company’s Social Loan Framework to support social projects. This transaction is part of CreditAccess Grameen’s strategy to diversify its funding sources and enhance its asset-liability management.
CreditAccess Grameen Limited has announced the acquisition of a USD 75 million syndicated social loan facility. This facility qualifies as an External Commercial Borrowing (ECB) under the automatic route of the Reserve Bank of India (RBI). The transaction was facilitated by HSBC, acting as the Sole Mandated Lead Arranger and Bookrunner. Participating entities include HSBC (Gift City), Doha Bank (Qatar), State Bank (Mauritius) Ltd., Bank of China Ltd. (China), and National Development Bank Plc (Sri Lanka).
The financial terms of the transaction involve the raising of USD 75 million, which contributes to CreditAccess Grameen’s strategy of diversifying its liability franchise. The company has secured over USD 300 million in commitments from global banks, development financial institutions, and impact investors during the fiscal year 2025-26. This represents over 15% of its borrowing requirements for the year, sourced from foreign entities. The loan facility is structured to enhance the company’s asset-liability management and liquidity position, with a tenure of 3–5 years.
The scope of the loan involves deployment under CreditAccess Grameen’s Social Loan Framework. This framework aligns with the Social Loan Principles 2023, ensuring transparency in fund usage, clearly defined social development goals, and strong governance standards. Sustainalytics provided a second-party opinion to validate the credibility of the framework. The facility will support eligible social projects, contributing to the company’s mission of fostering inclusive and resilient development across communities.
In the market context, CreditAccess Grameen has positioned itself as a leader in the NBFC-MFI sector by leveraging international funding sources. The company has increased its share of foreign borrowings from 9% to 24% over the past five years. This disciplined approach has enabled the company to reduce its incremental cost of funds, allowing it to offer affordable financing solutions to its microfinance customers.
The timeline for the implementation of this facility involves immediate deployment under the Social Loan Framework. The transaction was completed with the participation of multiple international financial institutions, reflecting confidence in the company’s robust asset quality and growth strategy.
**About CreditAccess Grameen Limited**
CreditAccess Grameen Limited is a leading microfinance institution in India, focusing on providing micro-loans and retail lending solutions to women customers, primarily in rural areas. The company operates across 450 districts in 16 states and one union territory through 2,222 branches. Its promoter, CreditAccess India B.V., specializes in micro and small enterprise financing and is supported by institutional investors.