Central Bank of India, one of the leading public sector banks, has entered into a strategic Co-lending Partnership with lIFL Home Finance to offer SME LAP Loan product under priority sector to MSME borrowers subject to the compliance with the applicable law(s) including the applicable guidelines issued by Reserve Bank of India (RBl).

The participation by both the entities in this Co-Lending arrangement will result in greater expansion of portfolio by Central Bank of India and llFL Home Finance.

IIFL Home Finance is a RBl regulated non-banking finance company with pan India presence and has a track record of customer acquisition.

Under this arrangement, lIFL Home Finance will originate and process loans as per jointly formulated credit parameters and eligibility criteria and Central Bank will take into its book 80% of the SME LAP Loans under mutually agreed terms.

IIFL Home Finance will service the loan account throughout the cycle of the loan. This Co Lending arrangement is expected to help both the entities to offer convenient experience to their customers as well as help expand their business across India.

Shares of the company declined Rs 0.05, or 0.22%, to trade at  Rs 22.65.  The total volume of shares traded  was  675,184 at the BSE (1.11 p.m., Wednesday).