Prime Highlights
- Motilal Oswal Home Finance signed a $100 million debt financing agreement with the Asian Development Bankto expand affordable housing loans in India.
- The funding will mainly support women borrowers in underserved towns and promote environmentally sustainable housing.
Key Facts
- The company will raise the funds in Indian rupee equivalent through non-convertible debentures, with 10% allocated to homes meeting green building standards.
- As of December 2025, the firm operated 126 branches across 12 states, served over 53,000 customers, and managed assets of ₹5,379 crore.
Background
Motilal Oswal Home Finance Limited has signed a $100 million debt financing agreement with the Asian Development Bank to expand its affordable housing business in India. The funding will mainly support housing loans for women borrowers and promote environmentally sustainable homes.
The housing finance company said it will raise the amount in Indian rupee equivalent through non-convertible debentures. The company described the agreement as a key step that shows confidence from a global development finance institution in its business model and long-term growth plans.
Most of the funds will go toward providing affordable home loans to women in underserved and emerging towns across India. The initiative aims to increase access to housing finance for families in low- and middle-income groups. Around 10% of the financing will be used for residential units that meet recognised green building standards.
Sukesh Bhowal, Managing Director and Chief Executive Officer of Motilal Oswal Home Finance, said the partnership would help the company strengthen its presence in smaller cities and support responsible growth.
He added that the collaboration will allow the firm to expand housing finance to more first-time homebuyers while also encouraging green construction practices that help build resilient communities.
Bhavin Shah, Chief Financial Officer of the company, said the long-term funding would improve its financial structure. According to him, access to stable capital at competitive rates strengthens the company’s funding mix and supports better asset-liability management.
The Asian Development Bank said the investment will help increase access to credit for women in India, who still represent a smaller share of homeowners. The bank added that the partnership also promotes environmentally sustainable housing solutions.
Motilal Oswal Home Finance, the housing finance company of Motilal Oswal Financial Services, provides home loans to people buying their first house in Tier-2 and Tier-3 cities.
As of December 2025, the company ran 126 branches in 12 states and managed assets of ₹5,379 crore. It served over 53,000 customers, kept gross NPAs at 1.43%, and earned a profit after tax of ₹130 crore in FY25. ICRA Limited gave the company an AA+ (Stable) rating.