Asian Development Bank partners with Vastu to boost housing access in India
Deal News | Dec 23, 2024 | Asian Development Bank
The Asian Development Bank (ADB) has entered a senior secured loan agreement with Vastu Housing Finance Corporation Limited to provide up to $70 million for affordable and sustainable housing loans in underserved states of India. The initiative focuses on economically weaker sections and low-income groups, with an emphasis on female borrowers and first-time borrowers receiving at least 15% of the funds. ADB aims to address India's 95% housing deficit primarily affecting these groups, promoting environmentally friendly housing solutions that align with the country's financial inclusion strategy. Vastu, a technology-driven housing finance firm, highlights its commitment to expanding affordable housing options with a focus on self-employed customers in rural and semi-urban areas. This collaboration demonstrates ADB's dedication to financial inclusion and sustainable development in alignment with India's national financial inclusion strategy.
Sectors
- Financial Services
- Real Estate
- Sustainable Development
Geography
- India – The collaboration specifically aims to improve housing access in India's underserved states.
Industry
- Financial Services – This sector is relevant as it deals with housing finance and loans, particularly for underserved and low-income groups.
- Real Estate – The initiative focuses on providing access to affordable housing, thus falling under the real estate sector.
- Sustainable Development – Emphasis on environmentally friendly and sustainable housing indicates relevance to sustainable development.
Financials
- $70 million – The amount of loan provided by ADB to Vastu for enhancing affordable housing access.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Asian Development Bank (ADB) | Lender | Company | A multilateral development bank committed to achieving prosperity, inclusivity, resilience, and sustainability in Asia-Pacific. |
| Vastu Housing Finance Corporation Limited | Borrower | Company | A technology-driven affordable housing finance company focusing on self-employed customers in peri-urban and rural India. |
| PSOD Director General Suzanne Gaboury | Spokesperson | Person | Director General at ADB, commenting on the partnership's goals. |
| Sandeep Menon | Founder, MD & CEO | Person | CEO of Vastu, highlighting the company's expansion goals through the partnership. |
| Reserve Bank of India | Information Source | Government | Provided data about India's housing deficit and challenges faced by target groups. |