Mumbai: Private sector lender Yes Bank has teamed up with the Overseas Private Investment Corporation (OPIC), the U.S. Government’s Development Finance Institution, and Wells Fargo on an agreement to increase lending to small and medium enterprises (SMEs) in India.
Under the agreement, the OPIC will provide $75 million in financing and up to $75 million in syndicated financing jointly arranged by Wells Fargo Bank and Yes Bank.
Specifically, $50 million of the financing would be used to expand support to women-owned businesses, while another $50 million will be used for financing SME business in low-income States.
This is the third transaction between the OPIC and Yes Bank and comes close on the heels of last year’s $265 million OPIC facility, which Yes Bank will use to extend SME financing in India.
Yes Bank has also partnered with International Finance Corporation and Women Entrepreneurs Opportunity Facility by drawing a $50 million loan in March 2016 for mobilizing capital for women entrepreneurs.