Abler Nordic leads USD 10 million equity round in CredRight, to tackle India's MSME credit gap
Abler Nordic's first equity investment from Fund V aims to tackle the MSME sector's staggering estimated credit gap of USD 530 billion
CredRight, a Non-Banking Financial Company bridging the credit gap for small business owners in India, has raised $10 million in a round led by Abler Nordic— its first investment from the new Fund V— with continued backing from existing investors, the Michael & Susan Dell Foundation and Unleash Capital.
CredRight’s “phygital” model combines digital processes and solutions with a network of 125 low-cost branches across four Indian states, enabling it to currently serve over 20,000 micro-enterprises. This approach allows CredRight to reach underserved areas while staying closely connected to customers and maintaining operational efficiency.
India’s MSME sector faces a staggering estimated credit gap of USD 530 billion, with USD 169 billion specifically in the micro segment. Only around 14% of the country’s 64 million micro-entrepreneurs have access to individual business loans. The gap is particularly acute in the semi-developed and rural areas where CredRight operates, where formal lenders are often absent or unwilling to serve informal entrepreneurs lacking credit history, collateral, or documentation.
With a mission to empower over 10 million nano enterprises in Tier-2 to Tier-4 towns, CredRight fills the gap between traditional microfinance and commercial lending. It serves micro-entrepreneurs— often small traders and shopkeepers— who are still excluded from the formal financial system.
“This first investment from Fund V reflects both our confidence in CredRight’s model and our strong commitment to India as a priority market. The country’s micro and small business sector plays a vital role in driving inclusive growth, yet remains vastly underserved. By supporting CredRight with both patient capital and active ownership, we aim support a locally-rooted solution that effectively addresses this gap,” said Arthur Sletteberg, Managing Director at Abler Nordic.
“Nano-entrepreneurs form the backbone of India’s economy at the grassroot level, yet most still lack access to fair and flexible capital. CredRight is changing that. By blending technology with community reach, they’re equipping thousands of nano-enterprises with resources to increase income, create jobs, and build lasting financial security. We’re proud to continue supporting this important work,” said Rakesh Goyal, Head of Financial Services, Michael & Susan Dell Foundation, India.
Speaking on the fundraise, Neeraj Bansal, co-founder of CredRight, said: “Nano Enterprises are going to contribute significantly towards the journey of taking India to $10 trillion GDP. Access to institutional and fair capital significantly accelerates their growth and makes them more resilient. We are happy to welcome Abler Nordic joining us in this journey of furthering financial inclusion. This fundraise comes at a juncture where industry is facing multiple headwinds and stands as a testament to CredRight’s business model and its resilience.”
This investment aligns with Abler Nordic’s mission to support sustainable financial institutions that empower low-income households in developing countries. CredRight’s model has already shown tangible results: according to the 2023 60 Decibels Microfinance Index, over 70% of the surveyed customers reported increased income, savings and improved ability to manage their finances because of a CredRight loan.
The funds raised in the Series B round will enable CredRight to expand its loan book, enhance its technology platform, and extend its reach to more entrepreneurs in need of financing.
As CredRight’s largest equity investor, Abler Nordic will be a collaborative partner, supporting the company’s strategic growth, strengthening governance, and helping it scale its impact.
