Godrej Capital Ltd. (GCL) will start offering retail loans to small and medium enterprises (SMEs) without any collateral from January, said a top company official.
“Currently, we are offering housing loans in four top cities and loans against property (LAP) in 11 cities including Chennai,” said Manish Shah, MD & CEO.
“From January 2023, we will start rolling out retail loans pan India without any collateral. We will start small with a few variants and make it go full strength,” he said.
The financial arm of Godrej Industries Ltd. is the holding company for Godrej Housing Finance (HFC) and Godrej Finance Ltd. (an NBFC). It commenced operations in Chennai recently with LAP.
“The market size of LAP in Chennai is about ₹1,500 crore per month. Our focus will be on retail loans and LAP. We hope to garner 10% market share from Chennai market alone in 18 months,” he said.
According to Mr. Shah, GCL is eyeing a balance sheet of ₹6,000 crore by March 23 through mortgage, affordable housing and business lending loans. Housing loans would account for ₹4,000 crore and LAP ₹2,000 crore.
He also said that the company had entered into a co-lending partnership with five players as part of its foray into affordable housing.