Tata Motors has inked a memorandum of understanding (MoU) with Central Bank of India for financing of the commercial vehicles. As per the MoU, Central Bank of India will increase their lending to priority sector.
The MoU enabling free loan services to micro and small enterprises is expected to create an encouraging platform for prospective customers in both organizations, which is to avail the Bank’s services for financing Tata Motor’s products. The opportunity enjoying huge potential in the rural areas, is expected to further leverage the operational scope to both the entities in enhancing their product and reach in the hinterland.
Central Bank will provide loan up to 85 percent to eligible borrowers on merit for a maximum tenure of five years.