Paisalo Digital completes maiden ECB issuance to diversify funding and expand MSME lending

Paisalo Digital Limited said it completed its first External Commercial Borrowing (ECB) transaction. The company raised USD 15 million through the deal. Paisalo Digital described it as part of a plan to diversify liabilities. The update came through a stock exchange filing. Investors also tracked debt plans and the stock’s intraday moves on March 18, 2026.

"This maiden ECB issuance represents a strategic step aimed at broadening the Company's funding mix and accessing cost-effective, long-tenor capital from international markets. The proceeds will be utilized to support the Company's continued expanding lending portfolio, with a continued focus on MSMEs, income-generation segments, and other priority sectors," said Paisalo Digital in a stock exchange statement.

Santanu Agarwal, Deputy Managing Director, Paisalo Digital Limited, said: "The successful closure of our maiden ECB issuance marks a pivotal step in strengthening our liability franchise. By accessing diversified and long-tenor funding, we are enhancing our ability to sustainably scale the business while maintaining prudent risk management. This transaction also reflects the confidence of lenders in our operating model and growth strategy. The additional capital will enable us to deepen credit penetration across underserved segments and drive inclusive economic development."

Paisalo Digital said the ECB adds a dependable funding source to its liability profile. The company also linked the transaction to optimising its overall cost of capital. Paisalo Digital added that lenders backed its disciplined underwriting and stable asset quality. It also pointed to a scalable, technology-enabled distribution model supporting future growth.

On March 18, 2026, the board was set to discuss allotment of Non-Convertible Debentures (NCDs). The proposed Rs 1,500 crore NCD issue received a "BWR AA / Stable" rating from Brickwork Ratings. The stock rose by almost 7% over the previous five days. Market focus stayed on funding diversification and upcoming approvals.

As of 11:58 AM IST on March 18, 2026, Paisalo Digital Ltd (PAISALO) traded at Rs 34.51 on the NSE. The price moved between Rs 35.01 and Rs 34.29 in the morning session. Volumes stayed steady, with almost 1.1 million shares traded. The Operations and Finance Committee met on March 18, 2026.

The committee was scheduled to approve Rs 100 crore of secured NCDs at a 9.25% coupon rate. Paisalo Digital reported 4,872 touchpoints across 22 states in Q3 FY26. That quarter ended December 31, 2025, after adding 492 touchpoints. The customer base was about 14 million, alongside strong collection trends.

Asset quality metrics for Q3 FY26 stayed firm, based on company disclosures. Collection efficiency stood at 98.8% for the quarter. Gross NPA was 0.83%, while net NPA was 0.66%. These figures supported the company’s comments on resilient performance as it expanded lending and widened funding sources.

Metric (Q3 FY26)	Value
Collection efficiency	98.8%
Gross NPA	0.83%
Net NPA	0.66%