Bengaluru, 21 January 2021: Avanti Finance today announced its collaboration with Michael & Susan Dell Foundation to support micro-entrepreneurs in securing low-cost debt as they strive to rebuild their livelihoods and resume business activity following the outbreak of the COVID-19 pandemic.
This is an innovative strategic collaboration in the social fintech sector. The Dell Foundation has provided Avanti Finance with a low-cost debt of INR 15 crore, which Avanti will utilize to provide unsecured loans amounting to as much as INR 150,000 to low-income borrowers in urban and peri-urban areas in Madhya Pradesh, Gujarat, and Tamil Nadu for a period of up to 30 months. Avanti’s extensive network of partners, curated to accelerate access to formal credit and customized financial products to the unbanked, will be leveraged to execute this program.
“We are committed to helping micro-entrepreneurs return to normalcy and be on a path to recovery. Avanti provides a strong digital loan delivery model. Their open-access technology platform enables credit operations in a paperless, presence-less and cashless manner. Avanti’s partnerships with various community organizations on the ground ensure that funds are channeled to borrowers, which can be used to rebuild livelihoods that have been disrupted by COVID-induced economy shutdowns as part of our Road to Recovery program,” said Nat Malupillai, Director, India, Michael & Susan Dell Foundation.
“Our collaboration with the Michael & Susan Dell Foundation comes at a vital moment when micro entrepreneurs need every support to be on a road to recovery. This impact-driven initiative to support entrepreneurs with limited access to capital will help them rebuild their businesses and financial health, which have been severely affected by the pandemic. In the next few months, this low-cost loan program will help them regain their economic and social status,” said Manish Thakkar, COO, Avanti Finance.
The Michael & Susan Dell Foundation and Avanti Finance are known for their pioneering work in providing access to financial assistance and helping to assimilate underserved communities within the organized financial system. The partnership promises to boost economic recovery, improve the quality of livelihoods, and move the needle on financial inclusion in India.