New Delhi, April 24 : Financial services platform Northern Arc on Wednesday said that it secured $80 million in funding from the International Finance Corporation (IFC), a member of the World Bank Group.

The investment comprises an equal split of equity and debt, each contributing around $40 million, demonstrating IFC's confidence in Northern Arc's scalable and sustainable business model and India's expanding credit market, the company said.

"The investment marks the beginning of a long-term relationship with IFC and other multi-laterals who believe in the India story and Northern Arc playing an instrumental role in India's growth story through financial inclusion," Ashish Mehrotra, MD and CEO of Northern Arc, said in a statement.

The company said that the new funding from IFC will support the expansion of Northern Arc's reach to end customers, fostering social impact through improved credit access to customers across its focused sectors.

"Our partnership with Northern Arc is a key component of our strategy to harness private sector expertise and finance in reaching millions of MSMEs and mid-market companies through innovative products," said Wendy Werner, IFC India Country Head.

As of September 30, 2023, Northern Arc has facilitated financing of over Rs 1.5 trillion in credit through its technology platform using data insights derived from a large data repository and domain expertise, underscoring its role in the financial ecosystem.

/IANS