Paytm Collaborates With Shriram Finance To Strengthen Loan Distribution Business

One97 Communications Ltd, owners of the brand Paytm, on Friday has joined forces with Shriram Finance, a prominent non-banking financial company (NBFC), to enhance its loan distribution business, pti reported.

Through this partnership, Shriram Finance products would be made accessible on the online platform, helping to promote financial inclusion and expand Paytm's business to include credit services.

Paytm has improved the credit ecosystem with its technology-driven lending by collaborating with renowned financial institutions to digitally disperse loans.

"India is witnessing high growth in retail credit demand. It is only likely to increase with greater participation from rural and semi-urban India. A lot of this demand will come from a digitally literate, young generation brought up in the mobile telephone proliferation era and those having comfort in making all their transactions through handheld devices," said Shriram Finance Ltd executive vice chairman Umesh Revankar.

Shriram Finance would offer loans to merchants on the Paytm network, and those loans would later be expanded to include consumer loans.

Shriram financial is one of the biggest retail non-banking financial organisations in the nation, managing assets worth Rs 1.85 lakh crore, employing 64,052 people, and operating 2,922 locations.

"We are happy to onboard Shriram Finance as our latest marquee partner, as we continue to drive the growth momentum in the credit distribution business while remaining focused on digital lending compliance and quality of loans," Paytm President and COO Bhavesh Gupta said.