BoB and IIFL Finance enter into co-ending partnership for gold loans

The collaboration will deliver faster, easier, and more affordable credit solutions for agricultural and allied activities through a shared BoB and IIFL initiative

Bank of Baroda (BoB) and IIFL Finance have formed a co-lending partnership to extend gold loans, primarily targeting underserved and rural customers across India’s semi-urban and rural regions.

This initiative will streamline access to affordable credit for agricultural and related activities, according to a joint statement from both institutions.

Following RBI guidelines on co-lending, IIFL Finance will manage loan origination and servicing, while BoB will contribute funding. The collaboration will leverage joint underwriting to create a scalable credit delivery system.

By combining the Bank’s low-cost capital base with IIFL Finance’s extensive rural network, the partnership aims to strengthen financial inclusion efforts nationwide.

Advanced technology integration will enable real-time data sharing between institutions, enhancing transparency, operational efficiency, and customer protection while minimizing reconciliation issues. The agreement includes co-branded documentation and shared servicing responsibilities for a seamless borrower experience.

Madhur Kumar, Chief General Manager at BoB, stated, “Our collaboration with IIFL Finance addresses the credit needs of traditionally underserved customers, supporting inclusive growth across India’s diverse economic landscape.”

“The partnership leverages the synergy between technological innovation and institutional cooperation to create a more accessible lending ecosystem that empowers all borrowers,” he added.

Published on September 29, 2025