Union bank

Union Bank Of India And Ambit Finvest Partner For Co-Lending To MSMEs

Ambit Finvest announced on Tuesday that it has signed a co-loan agreement with Union Bank of India (UBI) to lend to Micro, Small and Medium Enterprise (MSME) clients. Ambit Finvest is the Non-Banking Financial Company (NBFC) that does not take deposits from the Ambit Group.

This merger will allow the subscription of companies in 11 States currently covered by Ambit Finvest. “Ambit Finvest is delighted to partner with Union Bank of India to increase the reach of credit to meet the needs of the MSME segment. With this alliance, Ambit Finvest and Union Bank of India aim to facilitate rapid disbursement of credit across different geographies,” said Sanjay Dhoka, COO and CFO, Ambit Finvest.

Through this lending model, MSMEs who face the challenges of higher interest rates or who are excluded from accessing banking services will obtain lower interest rates, resulting in lower cost funds, helping them to more effectively deploy capital in their business, the company said in its statement.

“The partnership with Ambit Finvest Pvt Ltd. is part of UBI’s strategy to create a synergy between the two companies that will help us serve the most deserving and underserved businesses. This initiative is part of Union Bank’s commitment to supporting MSMEs by providing tailored financial solutions and accelerating the growth of MSMEs to contribute to the economic development of the country,” said Lal Singh, CGM, MSME, Union Bank .

Dhoka further added that the co-lending partnership with a large organization like Union Bank of India will help Ambit Finvest further expand its footprint in the MSME segment.

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