Paisalo Digital & LoanKhata Forge ₹1000 Cr Co-Lending Pact for MSMEs

Paisalo Digital has established a Memorandum of Understanding (MoU) with LoanKhata, signaling a proposed co-lending partnership. This agreement aims to create a co-lending facility worth up to Rs 1,000 crore.

Partnership Details

• The co-lending facility is projected to aggregate up to Rs 1,000 crore.
• Paisalo Digital plans to fund 80% of each eligible loan.
• LoanKhata is set to fund the remaining 20% of each eligible loan.

The partnership will specifically target Micro-enterprises and MSMEs. This collaboration aligns with Paisalo Digital’s three-year strategic roadmap, which focuses on doubling its Assets Under Management (AUM), total income, and Profit After Tax (PAT), all while maintaining robust asset quality.

Combined Network Reach

• Paisalo Digital expanded its network from 1,052 touchpoints in FY23 to 5,995 touchpoints by Q1 FY27.
• This network includes 424 branches, 3,997 distribution points, and 1,574 business correspondents across 23 states.
• LoanKhata contributes a last-mile ecosystem of over 1,00,000 retailers with CSP registration.
• LoanKhata also provides access to a customer base exceeding 90 million.

This alliance merges two distinct distribution engines, enhancing sourcing, onboarding, and customer engagement. The focus remains on underserved, semi-urban, and rural markets, leveraging the combined extensive reach.

Paisalo Digital operates as a Middle Layer, Systemically Important Non-Deposit Taking Non-Banking Financial Company, regulated by RBI’s scale-based framework, specializing in providing loans.