VFS Capital Withdraws SFB Application

VFS Capital, a company that gives out small loans, has decided not to go ahead with its plan to become a small finance bank.

They had applied to the Reserve Bank of India (RBI) for a special license to operate as a bank.

The RBI had previously announced that it received the application.

VFS Capital has a large network of branches, mainly in Eastern India.

As of March 2022, they had given out loans totaling nearly a thousand crore rupees.

This decision means they will continue to operate as a microfinance lender.