Same number last year was 430 crore which saw an uptick of 34% this year
NeoGrowth, an MSME-focused digital lender in India, is supporting women-run MSMEs, disbursing INR 650 crore in loans to them during FY 2024 which is a 34% uptick from the previous year.
This amount represents a substantial 23% of the company’s total loan disbursals, which was INR 2,863 crore for the fiscal year. The NeoGrowth Impact Report 2024 reveals that over 3,600 women-owned MSMEs benefited from business loans, underscoring the company’s commitment to fostering financial inclusion through its integrated impact approach.
The company had a customer base of over 16,000 customers in FY’24.
Achieving UN’s Social Development Goals
NeoGrowth’s approach to lending is centered on creating a positive impact by setting a distinctive standard for financial inclusion in India. Importantly, NeoGrowth’s business activities are aligned with 6 out of the 17 United Nations Sustainable Development Goals (SDGs). The company is committed to making holistic contributions to these goals through set targets. NeoGrowth’s loan books are monitored to capture the contribution towards these UN SDGs. The company has made significant progress on key SDGs, including Good Health and Well-being, Gender Equality, Industry, Innovation and Infrastructure, and Decent Work and Economic Growth, both in terms of value and volume.
The company disbursed close to INR 835 crore to MSMEs in Tier-II cities. 41% of the total loans were advanced to emerging small businesses that have been in operation for less than or equal to 5 years.
“At NeoGrowth, our mission is to create a sustainable, inclusive, and purpose-driven ecosystem for MSMEs in India. Our integrated impact approach is anchored in four foundational pillars: Governance and Regulatory Initiatives, Core Business Alignment, Social Initiatives, and Environmental Stewardship. By strategically focusing on these areas, we not only bridge the MSME credit gap but also advance six key United Nations Sustainable Development Goals, driving comprehensive growth. We take pride in partnering with small business owners across over 75 industry segments, each bringing a unique story of resilience and ambition. Our unwavering commitment to empowering first-generation entrepreneurs, supporting women-led businesses, and fostering financial inclusion contributes towards a vibrant and inclusive economy,” said Arun Nayyar, Managing Director & CEO of NeoGrowth.
Released annually, the 10th edition of the NeoGrowth Impact Report highlights the transformative impact of the company’s loans on MSME borrowers. The company’s strategy is focused on creating a positive and lasting impact across all its operations, ensuring that its credit solutions not only support the growth of India’s MSMEs but also contribute to broader societal and environmental goals. This holistic approach ensures that every aspect of NeoGrowth’s operations contributes to sustainable growth, financial inclusion, and positive social outcomes, all while maintaining the highest standards of governance.
The loans extended by NeoGrowth also have a snowball effect on MSMEs, which includes job creation, improvement in credit score, female entrepreneurship, and digitalisation of MSMEs, among others.
NeoGrowth’s AUM was INR 2,750 Crore in FY 2023-24, with a presence in 25+ cities and catering to 75+ MSME industry segments, NeoGrowth has disbursed over USD 1.4 Billion since its inception.
Read the complete report here: https://www.neogrowth.in/impact/
About NeoGrowth:
NeoGrowth is a new-age lender, with a focus on Micro, Small, and Medium Enterprises (MSMEs). It is a Middle Layer Non- Banking Financial Company (NBFC-ML), offering a wide range of products tailored to the dynamic needs of small businesses. Its data science and technology-led approach enable it to offer quick and hassle-free loans to MSMEs across 75+ segments across 25+ locations in India. NeoGrowth offers a unique daily repayment option to its customers with multi-channel repayment modes. It has served and engaged with 1,50,000+ businesses and supported them with their growth ambitions. It not only helps small businesses grow but also drives financial inclusion making a positive social impact. Founded by industry veterans, its Board of Directors comprises experts, who guide the leadership team toward its strategic goals. NeoGrowth was founded by Dhruv Khaitan and Piyush Khaitan a decade ago and is backed by renowned investors, namely Omidyar Network, Lightrock, Khosla Impact, Accion Frontier Inclusion Fund – Quona Capital, 360 One Asset, FMO, and Leapfrog Investments.
