Shriram Finance has secured a record-breaking $500 million SACE-backed loan, marking the largest such facility by an Indian NBFC. The 10-year financing agreement, backed by SACE, Italy’s export credit agency, will support financing for Italian vehicles and equipment, reinforcing Shriram Finance’s leadership in global fundraising and sustainable financing. Global financial institutions including HSBC, Deutsche Bank, KfW IPEX-Bank, ING Bank, and J.P. Morgan participated in this landmark deal. Read the full story on Prittle Prattle News.
With strategic backing from HSBC, Deutsche Bank, KfW IPEX-Bank, ING Bank, and J.P. Morgan, Shriram Finance secures India’s biggest SACE-covered loan to drive financial inclusion.
Shriram Finance Limited (SFL), India’s leading non-banking financial company (NBFC) and the flagship firm of the Shriram Group, has secured a record-breaking $500 million equivalent SACE-backed loan, marking the largest SACE-covered facility ever availed by an Indian NBFC. This 10-year long-term financing agreement, backed by SACE, Italy’s official export credit agency, will enable SFL to expand its financing portfolio for Italian vehicles, both new and used, supporting its Social Finance Framework while furthering financial inclusion in India.
The deal attracted global financial powerhouses, including HSBC, Deutsche Bank, KfW IPEX-Bank, ING Bank, and J.P. Morgan. HSBC served as the Sole Export Credit Agency (ECA) Coordinator, while ING Bank acted as the Social Loan Coordinator for the transaction.
This milestone further solidifies SFL’s position as India’s leading NBFC in offshore fundraising, having raised over $2.5 billion in global capital in FY25—the highest by any Indian NBFC in structured and sustainable finance initiatives.
Shriram Finance Expands Global Partnerships for Sustainable Financing
The successful execution of this landmark loan reinforces SFL’s ability to tap into international capital markets efficiently, optimizing funding costs while ensuring long-term sustainability. The funds will be directed towards financing Italian-manufactured vehicles and equipment—a strategic move that strengthens India-Italy trade relations while expanding SFL’s vehicle financing offerings under its Social Finance Framework.
Umesh Revankar, Executive Vice Chairman of Shriram Finance, shared:
This landmark transaction is a testament to our ability to navigate global financial markets and forge high-impact partnerships. Our association with SACE and leading global banks demonstrates the strong confidence international lenders have in our vision. With this facility, we will not only expand financing for Italian vehicles but also contribute to financial inclusion and economic development in India.
SACE & Global Lenders Express Confidence in Shriram Finance
The relationship between SACE and Shriram Finance has grown significantly since 2019 when SFL executed its first SACE Push Facility, enabling over €100 million worth of Italian vehicle imports into India.
Gautam Bhansali, Head – India & South Asia at SACE, commented:
Shriram Finance has been a trusted partner in fostering India-Italy trade. With this new facility, we are further strengthening our collaboration, supporting Italian exports while enabling SFL’s financial inclusion mission in India.
Ajay Sharma, Head of Banking, HSBC India, added:
We are proud to have arranged this landmark SACE-backed financing facility alongside Shriram Finance. This transaction is a continuation of our strong partnership and highlights HSBC’s expertise as a global ECA arranger. With this, we mark our fourth SACE-backed deal in India in just 12 months.
Strengthening India’s Access to Global Capital
This deal represents more than just a significant fundraising milestone, it signals a new era for India’s NBFC sector, as institutions like Shriram Finance secure diversified global funding sources to accelerate India’s financial inclusion and economic development.
With the successful execution of this transaction, SFL is positioned as a frontrunner in structured finance, ensuring cost-effective lending while strengthening its commitment to sustainable growth.
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