Vedanta Aluminium signs financing MoU with Central Bank of India for MSME customers
has signed a Memorandum of Understanding (MoU) with the
Central Bank of India
to provide collateral-free financing to its downstream customers, primarily Micro, Small, and Medium Enterprises (MSMEs), through its unit
Bharat Aluminium Company (BALCO)
.
The partnership will offer working capital loans ranging from ₹10 lakh to ₹10 crore, with minimal documentation requirements and industry-competitive interest rates. The loan programme will be delivered through Vedanta Metal Bazaar, an online platform for aluminium products, allowing customers to access financing options along with real-time invoice tracking and lien marking.
Digital platform integration and loan terms
Vedanta Metal Bazaar will host the financing facility digitally. Customers will receive standard repayment terms of 90 days with a 15-day grace period. The programme includes API-based services for faster loan disbursals and process transparency.
Currently, more than 100 customers use financing services through the platform with four existing partner banks. The addition of the Central Bank of India, with its extensive national network, is expected to widen the reach of this initiative.
Rajiv Kumar
, CEO, Vedanta Aluminium, said, 'Our partnership with Central Bank of India marks a pivotal step in strengthening the aluminium value chain by making working capital more accessible and affordable for MSMEs who form the backbone of India's manufacturing and industrial ecosystem. By enabling greater financial liquidity, we are not only empowering our customers to scale efficiently but also accelerating the development of a robust downstream sector.
'With more than 60% of our downstream clientele comprising MSMEs, this initiative will unlock new avenues for business expansion and competitiveness. It aligns with our vision of building a self-reliant, competitive, and future-ready aluminium industry that contributes meaningfully to India's economic growth, employment generation, and global manufacturing leadership.'
Vedanta Metal Bazaar currently offers over 750 product variants including ingots, billets, wire rods, primary foundry alloy, rolled products, and Restora (a low-carbon aluminium variant). The platform also features AI-based price discovery and is accessible via web and mobile applications.
Vedanta Aluminium, a division of Vedanta Limited, produced 2.42 million tonnes of aluminium in FY25, accounting for more than half of India's total output.
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