Kolkata, Oct 21, 2010 (Calcutta Tube/IBNS) Central Bank of India, a leading public sector bank and Bajaj Finance Limited, a leading non bank finance company and on Wednesday announced that they were forging a unique alliance to co-finance Retail and SME loans.
As part of the tie-up arrangement, Bajaj Finance Limited & Central Bank Of India will co-finance its retail and SME loans. These assets would be partially assigned to Central Bank of India on a periodic basis.
The partnership was announced at a joint press conference here on Wednesday by S. Sridhar – Chairman & Managing Director of Central Bank of India and Rahul Bajaj, Chairman of Bajaj Finance Limited.
“This partnership further deepens our long standing relationship. This alliance demonstrates a growing synergy between banks and NBFCs to partner together to leverage each other’s strengths and efficiencies,” said Rahul Bajaj.
The administration and servicing of these loans will be managed by Bajaj Finance Limited. The tie-up is a first of its kind in the industry and draws upon the strengths of both partners for mutual benefit.