Bajaj Finance plans to enter new car, MFI, tractor finance segments

Bajaj Finance is planning to offer car loans, tractor, and microfinance loans in the next few years due to the bright growth prospects of the Indian credit market, Sanjiv Bajaj, chairman and managing director of Bajaj Finserv Ltd, said.

"We will enter into four-wheeler financing, tractor financing, and microfinancing in the next two to three years," Bajaj said. Bajaj Finserv is the holding company of several financial sector companies, with Bajaj Finance being the largest one.

Bajaj Finance is already into used car financing and is in the process of tying up with dealers for new four-wheeler financing.

Speaking at the P V G Chair event organised by IMC Chamber of Commerce and Industry on Monday, Bajaj emphasised the potential for growth in the Indian credit market, as it is still not 'saturated'; therefore, the entry of new players will not affect the market share of the company.

According to Bajaj, the company, with its assets close to Rs 3 lakh crore, still holds less than 2 per cent share of the Indian credit market.

Further, the company intends to expand geographically from its current presence across 4,000 cities and towns to 5,000 cities and towns in the next three years.

As he expects the Indian economy to grow at the rate of 7 to 8 per cent in the near future, demand is also expected to double every five years.