Dvara Kshetriya Gramin Financials (Dvara KGFS) has raised $7 million in debt through external commercial borrowings from Enabling Qapital. The funds will be utilized to fuel the company’s ongoing lending activities and to create wealth opportunities in India’s deep rural areas.
This latest round of funding follows closely on the heels of a $10 million debt raise from BlueOrchard Microfinance Fund less than a month ago, underscoring the company’s robust growth trajectory and appeal to international investors.
“We are delighted to have this repeat round of debt raise from Enabling Qapital, and we look forward to working with them more closely in future to foster our common objectives of expanding sustainable and customer-centric financial inclusion initiatives,” said LVLN Murty, Managing Director and CEO of Dvara KGFS.
Dvara KGFS has ambitious plans for the current financial year, aiming to grow by 40%. Murty highlighted the importance of exploring various avenues to raise liquidity as essential for maintaining a well-diversified resource profile. “The company aims to grow by 40% in the current financial year, exploring various avenues of raising liquidity will be critical to ensuring a well-diversified resource profile,” he had stated during the previous funding round.
Last year, the company successfully raised $14.4 million through listed Non-Convertible Debentures (NCDs) from the Singapore-based Impact Investment Exchange. Dvara KGFS operates as a medium-tier Non-Banking Financial Company (NBFC), providing loans and other financial services to over 2.41 million customers in rural India. With an omnichannel approach, it runs more than 400 branches across 110 districts in 10 states.