Ruloans partners with UGRO Capital to foray into rooftop solar finance business

Mumbai, Aug 21: Ruloans, one of the leading credit distribution companies in India, announced that it has inked a partnership with UGRO Capital, a DataTech MSME-lending platform, to tap the growing renewable energy finance market. Ruloans is the first among the direct sales agents (DSA) to add rooftop solar finance products into its loan portfolio as the country’s transition to clean energy sources is fast gaining ground due to policy push and fiscal incentives by the Centre.

Ruloans’ partnership with UGRO Capital is aimed at acquiring new customers and grabbing a larger slice of the solar finance pie in the backdrop of the Centre’s increased fund allocation to solar energy projects such as the PM’s Surya Ghar Yojana. The Centre has set a target for establishing 50% cumulative electric power installed capacity from non-fossil fuel-based resources by 2030. Solar energy is a major component of the renewable energy segment that contributes significantly to the country’s clean energy initiatives.

Commenting on the partnership, Kaushik Mehta, Founder & CEO of Ruloans, said: “In the current fiscal year (FY25), about 21.2 GW of new solar capacity is expected to be added in India. In this, 4 GW is estimated to come from rooftop solar sources. More than 16 GW should come from utility-scale projects and another 700 MW from off-grid components. This will create immense opportunities for the solar finance business and we are fully equipped to venture into it.”

Amit Mande, Chief Revenue Officer, UGRO Capital, said: “We're thrilled to partner with Ruloans, whose extensive loan distribution network will help us accelerate green asset financing across India. As MSME lending is our core focus, tapping into the rapidly growing solar finance sector is a natural progression for UGRO Capital. Solar energy adoption is a crucial step in modernizing MSMEs and helping them move towards sustainability, significantly boosting their operational efficiency. This partnership is a win-win, combining UGRO's technological expertise with Ruloans’ robust marketing and distribution strengths to drive impactful growth in this emerging segment, carrying forward the message UGRO has believed in since inception – that MSME Accha Hai."

The growing renewable energy capacity addition is likely to catapult the country to a good standing as it is vital in strengthening India’s position as a global leader in clean energy adoption.

Currently, Ruloans has a significant share in the loans and financial services distribution business and it garnered Rs 26,833-crore business in FY23. The company is targeting INR 100 crore business from the solar category in FY25. Last year, the company launched the RUCONNECT app to make its services simple and accessible to millions of credit seekers.