MUFG Bank, a subsidiary of Mitsubishi UFJ Financial Group, announced plans to invest an additional 27.9 billion rupees ($332 million) in Indian nonbank lender DMI Finance, as part of its strategy to tap into the growing demand for online loans in emerging markets. The Japanese bank had previously invested 19.1 billion rupees in DMI Finance in 2023.
DMI Finance, which serves 15 million customers, specializes in providing loans to lower-income individuals who often lack access to traditional banking services. The specifics of MUFG’s ownership stake following this latest investment have not been disclosed, and DMI is not expected to become an equity method affiliate of the Japanese bank.
This investment is part of a broader push by MUFG to expand its presence in developing regions, particularly through digital technology. Earlier this year, the bank also invested in Thailand’s Ascend Money and the Philippines’ Globe Fintech Innovations, underscoring its focus on the fintech sector in Southeast Asia.
MUFG’s ongoing investments in nonbanks with digital capabilities highlight its strategy to leverage local growth opportunities in high-potential markets across Asia.
