Poonawalla Fincorp Limited (PFL), a finance company backed by the Cyrus Poonawalla Group, on Monday, launched a new Commercial Vehicle (CV) Secured Loan Business to support India’s logistics and supply chain industries.
The non-banking financial company (NBFC), known for lending to consumers and small businesses, now offers loans for Small, Light, and Intermediate & Heavy Commercial Vehicles. These loans cover both new and used vehicles from top manufacturers like Tata Motors and Ashok Leyland, with flexible payment and repayment plans designed to help operators strengthen their transport operations.
Arvind Kapil, Managing Director & CEO of PFL, in a company statement, said, “The commercial transport sector is key to our growing economy. Our Commercial Vehicle Loan meets transporters’ financial needs with simple processes and less paperwork. It also strengthens our range of secured loan products.”
The initiative comes as India sees rising demand for commercial vehicles, driven by booming e-commerce from companies like Amazon, growing industrial production, and major infrastructure projects like highway expansions.
Industry data from ICRA shows steady growth in CV sales, with used vehicles expected to form a large part of PFL’s loan portfolio, catering to budget-conscious buyers in the logistics sector.
To make borrowing easier, PFL has introduced a technology tool that reduces paperwork and speeds up loan approvals. Developed with fintech partners, this system uses verified data from credit bureaus and vehicle registries for accurate assessments, ensuring a smooth onboarding process.
The rollout begins with 68 locations across 12 states, targeting smaller cities and towns in Bharat where transport needs are growing, as per regional economic surveys. PFL plans to expand to 400 locations across 20 states in the next phase, using a hub-and-spoke model with central hubs supporting smaller branches.
