The International Finance Corp., part of the World Bank Group, is investing in Aavas Financiers to increase loans to low- and middle-income homebuyers in six Indian states, including Haryana.
Aavas Financiers is a division of Au Financiers, which is backed by private equity giant Warburg Pincus. Sixty-five percent of Aavas Financiers’ customers are small-business owners.
The IFC has previously invested in other affordable housing lenders in India, including Aspire Home Finance Corporation, Micro Housing Finance Corporation and Aptus Value Housing Finance India.
It also backed low-cost housing development via a $25 million commitment to Tata Housing Development Company in 2015.