Capital Trust pledges to accelerate digital lending to scale up financial Inclusion in India

31 Jan 2022 , 09:17 AM

On the occasion of India’s 73rd Republic Day celebrations and celebrating 75 years of Independence of India, named the celebration as ‘Azadi Ka Amrit Mahotsav’, Capital Trust Limited announces its commitment to accelerate digital lending by scaling up financial inclusion of the most underserved and unserved population of India.

Today, India has huge growth potential in the digital lending landscape, which is the ultimate objective of the Government of India. The increasing smartphone penetration in India, and the India Stack, are acting as powerful catalysts towards bridging the gap between the borrowers and lenders. Using these tools backed with an innovative Rural Doorstep-Fintech business model, Capital Trust is accelerating its reach through its perfect blend of the digital and physical mode.

Capital Trust Limited (Capital Trust), is a digitally enabled non-banking finance company (NBFC), specializing in providing digital loans in Tier III to V regions through its 315 branches, spread across 94 districts in 10 states. The ticket size of these loans ranges from ~INR 5,000 to INR 60,000.

“The Government of India’s target of reaching $5 Trillion economies is only possible through the financial inclusion of people at the bottom of the pyramid via digital lending. We have seen Industry talking about digital lending only after COVID 19, but we had started our digital journey way back in 2015. I feel proud in stating that our processes were so robust that we never needed a refresh button while navigating through the pandemic. I would also like to add that India’s Rural sector is tough enough to bounce back faster and stronger from any given situation, and that gives us added conviction to keep serving the sector”, commented Mr. Yogen Khosla, Chairman and Managing Director, Capital Trust Limited.

Capital Trust has many ‘firsts’ to its credit when it comes to digital lending at the base of the pyramid. For instance, the Company pioneered digital lending via 100% digital disbursements way back in 2015, followed by the launch of the Capital Sales smartphone application in 2016; the introduction of geo-tagged digital receipts rather than physical passbook in 2017; the launch of client-facing Capital Connect smartphone application in 2018; and the ushering in of 100% cashless collection as the first mode of payment in 2019. Today more than 55% of the borrowers pay digitally on or before due dates through the National Automated Clearing House.

Capital Trust is currently trading at Rs132.65 up by Rs5.65 or 4.45% from its previous closing of Rs127 on the BSE. The scrip opened at Rs128.60 and has touched a high and low of Rs132.65 and Rs128.35 respectively.