This Article is From Dec 23, 2014

Yes Bank Gets $200 Million From ADB for On-Lending

Yes Bank Gets $200 Million From ADB for On-Lending

Mumbai: Yes Bank on Tuesday said it has raised $200 million in an unsecured loan from Asian Development Bank for on-lending to small farm households and rural women's' self-help groups (SHG).

The money will be used for on-lending in rupee-equivalent amounts to finance working capital and investment requirements of the twin target groups, the private sector lender said.

"ADB's capital investment and technical assistance will provide sustainable finance to low income women and their families. The project targets small farmers to allow them to benefit from agricultural value chains and enhance their productivity through better access to markets and investment finance," said Todd Freeland, director general at ADB Private Sector Operations.

Yes Bank chief executive and managing director Rana Kapoor said the deal should be seen as one which reiterates its focus on responsible banking and furthering the financial inclusion agenda.

Financial details like the landing cost of the money, including interest and hedging cost, of the money were not made available immediately.

Apart from the unsecured loan, Yes Bank said ADB will also provide a Capacity Development Technical Assistance grant up to $1 million, which will be used for capacity building and improving the financial literacy of women borrowers.