India
VIRAF, India's first ABS fund has been launched in 2023. The $165Mn AUM fund has raised capital from prominent DFIs and investors. The fund seeks to add $85Mn in Senior Debt via Loan or Social Notes.
Scaling
Last update: October 05, 2023
Problem Statements
Economic engine: MSMEs contribute 31% to GDP and nearly 45% of exports.
Job creation: Over 110 million employed across rural and urban India.
$300-500B credit gap: Severe underfunding limits growth and innovation.
Only 16% have access to formal credit: Most MSMEs rely on costly informal financing.
How VIRAF addresses the MSME Finance Gap?
Financing Small to Mid Sized NBFCs.
NBFCs are at forefront of financial inclusion, providing infrastructure to originate and service small ticket loans to MSE, individual and women entrepreneurs
Catalysing Global Capital
Facilitating global capital to access this highly impactful asset class at scale and mitigating their investment risk using a blended finance approach
VIRAF Objectives
Deepening financial inclusion, boosting financing for small businesses and addressing gender gaps
Deepening India’s securitization market by providing solutions for access to global pools of capital
Create a long-term sustainable ecosystem solution for NBFIs which are fore-front on India’s financial inclusion
358,698 Borrowers
165,767 MFI Borrowers
260,055 Women Borrowers
107,213 MSME Borrowers
81,830 Mobility Solutions
