SMFG India Credit Receives Impressive AA- Rating, Boosting Financial Inclusion Drive

SMFG India Credit has been awarded an AA- rating by the Japan Credit Rating Agency, highlighting its strategic role in SMFG’s Asia strategy. This rating underscores the company's commitment to financial inclusion and growth in India’s retail loan market while maintaining robust risk management practices.

SMFG India Credit Company (SMICC), a significant player in India's financial landscape, has achieved an AA- international credit rating with a stable outlook from the Japan Credit Rating Agency (JCR). This rating positions the subsidiary of the Sumitomo Mitsui Financial Group (SMFG) just below its parent company's AA rating and four notches above India's sovereign rating.

JCR has emphasized SMICC's vital contribution to SMFG's Asian Multi-Franchise Strategy. With strong governance and alignment with SMFG's ethos, SMICC has become instrumental in promoting financial inclusion and empowering underserved communities across India. According to Pankaj Malik, CFO of SMFG India Credit, this distinction reflects the company's focus on financial discipline, operational excellence, and customer-centric growth fueled by innovative product offerings.

Focusing on the burgeoning domestic consumer credit market, SMICC has expanded significantly, backed by solid support from SMFG. The company's risk management has been noted for keeping interest rate and liquidity risks well-controlled. Operating under the Reserve Bank of India's regulation, SMFG India Credit, alongside its subsidiary SMFG Grihashakti, has built a comprehensive presence in India, offering varied lending solutions to underbanked and unserved sectors.

(With inputs from agencies.)