
Source: Entrackr
Mumbai, Saswat Finance, a Mumbai-based fintech startup has raised $2.6 million in its pre-Series A funding round. The funding was led by Ankur Capital with Incubate Fund Asia, an existing investor, following on.
The company has previously raised seed funding from Seedstars VC, Sparrow VC and Incubate Fund Asia.
Financing Rural India
Founded in 2022 by Arun Tiwari, Indrajyoti Bhattacharjee, and Ravi Ranjan Chaudhary, Saswat Finance has the role of providing financial services to the rural or semi-urban geographies that usually do not have adequate banking facilities. Saswat provides various related services, including small loans, especially for procuring cattle, insurance, and advisory services to rural workers and farmers. Saswat’s difference is that it combines technology and uses local data. For instance, Saswat uses local information such as milk production data or geographical conditions, to identify individuals who qualify for loans. Thus, Saswat can get critical finance to people with a quick and fair available financial service.
The new funding plans
Saswat’s $2.6 million raised will go toward:
- Improving the company’s technology systems;
- Creating new financial products;
- Expanding to other states such as Maharashtra, Karnataka, and Uttar Pradesh;
- Developing a better data and analytics platform.
These will enable Saswat to reach further villages and serve greater people more effectively.
Progress To Date
As per Saswat Finance, they have already brought in over 6,000 customers and the loans it has given out total to more than ₹55 crore (approximately $7 million). The loans are typically secured against livestock and other rural assets.
What the CEO Says
Arun Tiwari, co-founder and CEO of Saswat Finance, said:
“India’s rural segments — over 65% of the population — are underserved by traditional financial services. At Saswat, we blend technology and trust to bring financial services directly to their doorstep. This funding will help us deepen our reach and scale operations,”
Why It’s Important
The rural population of India continues to face difficulty accessing bank loans, insurance, and other financial products. Saswat Finance is trying to help by providing smarter, data-driven solutions close to home.
With this recent round of funding, Saswat is looking to reach more people, build better tools, and help even more across India’s heartland. Their team is also working on partnerships with agri-tech businesses and cooperatives to see how far its services can go. Saswat is just starting to grow but is always focused on its mission of improving financial access for rural areas.