TFCI Diversifies Into Retail Lending, Announces Alternative Investment Fund
The strategy is geared towards appealing to younger consumers who demand faster loan approvals and prefer the ease of digital lending solutions.
The Tourism Finance Corporation of India, a non-banking finance company, announced its move into retail lending through FinTech platforms and its intention to create an Alternative Investment Fund.
TFCI’s partnership with fintech firms aims to explore significant credit opportunities within the household and micro-small enterprise sectors, according to a statement released on Monday.
This strategy is geared towards appealing to younger consumers who demand faster loan approvals and prefer the ease of digital lending solutions, TFCI said. If further said that the introduction of digital lending is expected to strengthen TFCI's operations and enhance its financial stability.
In the first quarter of the financial year 2025, TFCI raised Rs 50.02 crore through a preferential equity share issue priced at Rs 225 per share. With a capital adequacy ratio of approximately 58%, TFCI is well-positioned to aggressively grow its wholesale and retail loan portfolios.
"This strategic move reaffirms our commitment to our long-term growth strategy. By deciding to tap into the fast-growing short-term retail lending market through digital technology and to sponsor an Alternative Investment Fund, we are diversifying our offerings to add more sectors, driving our next growth phase.," said Anoop Bali, managing director of TFCI.
TFCI provides finance through term loans and investment in debentures to the tourism and hospitality sectors, the social-infrastructure sector (with an emphasis on healthcare and educational institutions, green energy, warehousing, and logistics), the manufacturing sector, and the real estate sector.
(With input from PTI)
