Bank of America acquires major stake in Jio Credit for ₹182.68 billion

Bank of America has agreed to invest up to ₹182.68 billion to acquire up to a 49.9 percent stake in Jio Credit, valuation of $3.8 billion, expanding foreign presence in Indian lending.

Foreign direct investment in India's non-banking financial sector is poised for a significant expansion following a landmark capital infusion agreement between global financial institutions. Under the definitive agreement, Bank of America will acquire up to a 49.9 percent equity interest in Jio Credit through a preferential allotment of equity shares and convertible warrants, valuing the Indian lending enterprise at approximately $3.8 billion. The initial phase of the transaction secures a 26.5 percent equity stake for the US-based lender, with the remaining equity option subject to statutory and regulatory approvals.

Jio Credit, a non-banking financial company operated as a wholly owned subsidiary of Jio Financial Services for approximately two years, maintains a portfolio focused on secured credit products, including commercial lending, supply-chain finance, mortgages, and loans against securities. As of June 30, 2026, the firm reported total assets under management reaching ₹306.67 billion. Jio Financial Services is an Indian financial services company offering comprehensive digital credit and investment solutions, while Bank of America is a major multinational investment bank and financial services corporation headquartered in the United States.

This strategic alliance signals strong international institutional confidence in India's macroeconomic growth trajectory and financial retail ecosystem. By injecting up to ₹182.68 billion in fresh capital, the transaction significantly strengthens the non-banking financial company's balance sheet, facilitating portfolio expansion and credit distribution across diverse economic segments. Furthermore, the collaboration provides the domestic lender access to international standards in corporate governance, risk management frameworks, and advanced technology infrastructures.

Under the newly established corporate structure, both entity partners will hold equal representation on the board of directors, while operational execution and strategic oversight remain with the current executive leadership team. This strategic alignment combines extensive local digital infrastructure with international financial capabilities to reduce inefficiencies in credit delivery, positioning the institution to capture a broader share of India's growing market for structured financial products.