Northern Arc raises $25m in debt financing from FMO
Indian digital debt platform Northern Arc has received $25 million debt financing from Dutch development bak FMO. This is the fourth transaction in a series of large-scale investments made by global development financial institutions and impact investors in Northern Arc in FY 21. In the last 12 months, Northern Arc has attracted debt financing from the likes of US International Development Finance Corporation, Asian Development Bank, and Calvert Impact Capital.
The funds raised so far have been instrumental in enabling Northern Arc to provide finance to micro-loan borrowers and SMEs in India, who were severely impacted by the pandemic in the last one year. The latest investment from FMO will be utilised for on-lending to financial institutions that focus on women borrowers, micro-entrepreneurs and SMEs.
