SK FINANCE LIMITED
Status: Proposed investmentWhy disclosure?
FMO is committed to making publicly available relevant investment information that informs stakeholders and enables them to engage directly with FMO on its investments which, in turn, enhances our investment decisions, the design and implementation of projects and policies, and strengthens development outcomes. Learn more
In case of questions
We welcome feedback on this proposed investment opportunity for FMO. The ending of the proposed investment phase is indicated on the right side of this page. In case of questions, please contact us at disclosure@fmo.nl
Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our prospective customer?
SK Finance Limited is a regulated NBFC primarily active in north-western India. The company provides asset-backed financing in the vehicle and MSME lending segments, targeting underserved entrepreneurs in rural and semi-urban areas. It currently serves 458,000 clients across 648 branches in 12 states.
What is our funding objective?
Our funding will be used to support SK's portfolio growth, facilitating access to finance for underserved microentrepreneurs and micro, small, and medium enterprises (MSMEs). Additionally, part of our funding will be allocated towards financing CNG vehicles, which produce lower emissions compared to petrol and diesel vehicles. The transaction qualifies for 100% RI label and 25% to 50% green label.
Why do we want to fund this investment?
By partnering with SK, FMO can reach the underserved MSME segment in the rural and semi-urban areas of northwestern India, thereby contributing to the reduction of inequalities. Furthermore, by financing CNG vehicles, FMO can help reduce air pollution and greenhouse gas emissions, thereby contributing to climate action.
What is the Environmental and Social categorization rationale?
SK is categorized as an FI-C client, given the size and purpose of its portfolio loans. The company has no exposure to activities on FMO’s exclusion list, IFC Performance Standards (IFC-PS) triggered transactions, or high-risk sector exposures.
More investments
| Date | Total FMO financing |
|---|---|
| 5/25/2023 | INR 4100.00 MLN |
| 2/18/2025 | INR 2900.00 MLN |
| 6/21/2019 | INR 480.00 MLN |
- Website customer/investment
- https://www.skfin.in
- Region
- Asia
- Country
- India
- Sector
- Financial Institutions
- Publication date
- 7/18/2025
- Deadline for feedback
- 8/17/2025
- Total FMO financing
- USD 50.00 MLN
- Funding
- FMO NV
-
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - C