Japan's SMFG Infuses Mammoth Rs 4300 Cr In India Arm: Biggest Funding Yet In Financial Year

Sumitomo Mitsui Financial Group, Inc. (SMFG), on Thursday, announced a record Rs 4,300 crore equity infusion in its Indian operations.

This marks the highest-ever infusion for SMFG India Credit Co. Ltd. (formerly Fullerton India Credit Co. Ltd.) in a single financial year.

Additionally, Rs 300 crore has been allocated to its subsidiary, SMFG India Home Finance Co. Ltd. (SMFG Grihashakti). With this latest investment, SMFG’s total annual capital infusion in India stands at a record-breaking Rs 4,300 crore for the financial year.

SMFG's Highest-Ever Fund Infusion
SMFG India Credit’s Asset Under Management (AUM) surged to Rs 49,800 crore as of September 30, 2024, reflecting an impressive year-on-year growth of 25.1%.

The infusion bolsters the company’s Capital Adequacy Ratio (CAR), further enhancing its capacity to cater to a diverse clientele with innovative financial solutions.

SMFG Announces Major Equity Infusion in Indian Operations
“This fund infusion demonstrates the confidence that SMFG places in the growth potential of the Indian market and SMFG India Credit’s vision,” said Pankaj Malik, Chief Financial Officer of SMFG India Credit.

“The enhanced capital base not only allows us to scale our business operations but also solidifies our ability to serve a diverse customer base with innovative financial solutions,” he added.

About SMFG India Credit Co
Operating since 2007, SMFG India Credit has established a significant presence in India, spanning 670+ towns and 70,000+ villages through 828 branches and 22,000+ employees. The company specializes in financing small businesses, rural livelihoods, and underserved populations, offering products such as SME loans, home improvement loans, and vehicle financing.

About SMFG and Subsidiaries
SMFG Grihashakti, a subsidiary focused on affordable housing, operates in 179 locations and has served over 51,000 customers since its inception in 2015. SMFG, headquartered in Japan, is a global financial giant with a market capitalization of $77.5 billion and is recognized as a global systemically important bank (G-SIB).