Godrej Finance Limited (GFL), the lending arm of Godrej Capital, has partnered with Muthoot FinCorp to enhance credit access for MSMEs in Tier-2 and Tier-3 cities. Through Muthoot FinCorp’s 3,700+ branches, the partnership targets loan disbursals of INR 250 crore in FY26.
Under the co-lending model, GFL will take on 80% of the risk, while Muthoot FinCorp will manage underwriting, collections, and customer engagement. The offering will begin with loans against property ranging from INR 10 lakh to INR 75 lakh, with plans to expand into gold and housing loans.
Manish Shah, MD & CEO of Godrej Capital, said, “With our partnership with Muthoot FinCorp, we aim to bridge this gap for MSMEs by offering simpler, transparent, and faster lending solutions.”
Shaji Varghese, CEO of Muthoot FinCorp, added, “With our 3,700+ branches and Muthoot FinCorp ONE app, we will further contribute to the growth of MSMEs by meeting their financial requirements timely and effectively.”
The collaboration also integrates digital solutions to enable faster approvals, greater transparency, and compliance with RBI’s co-lending framework, thereby strengthening MSME financing in high-potential markets across India.
