Bank of America is set to acquire up to a 49.9% stake in Jio Credit Limited, signalling a significant move to deepen its presence in India’s rapidly expanding financial sector amid strategic partnerships and growth ambitions.
Bank of America has agreed to take a stake of up to 49.9% in Jio Credit Limited, the lending arm of Jio Financial Services, in a move that deepens its push into India’s fast-growing financial sector. The companies said the deal values the investment, including equity shares and warrants if fully subscribed, at about ₹18,268 crore, or roughly $1.9 billion, and still requires regulatory and statutory approvals.
According to the announcement, the transaction would begin with Bank of America taking a 26.5% equity interest, which could rise to 49.9% if the warrants are exercised. Jio Credit, formerly known as Jio Finance Limited, has built assets under management of ₹30,667 crore in just two years, the companies said, positioning the lender among the country’s quicker-growing non-bank finance businesses.
The partnership adds to a broader pattern of tie-ups between Jio Financial Services and international firms. Allianz said earlier this year that its reinsurance venture with Jio had started operations in India, while Jio’s BlackRock ventures have been moving towards a fuller launch in asset management and advisory services. Bank of America has also been expanding its own cross-border payments capabilities, signalling a wider effort to strengthen its international offering as competition for corporate and retail financial services intensifies.
Mukesh D. Ambani said the tie-up was a “pivotal milestone” in Jio Financial Services’ mission and argued it would help widen access to responsible lending in India. Brian Moynihan, chair and chief executive of Bank of America, said India is one of the bank’s most important growth markets and that the two firms could combine scale, technology and local knowledge to broaden access to financial services.
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