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Freo Secures Debt Funding from SIDBI to Expand Financial Services

Freo, a digital banking platform, secures debt funding from SIDBI, marking the latter's debut investment in the fintech sector. The investment aims to fuel Freo's expansion and innovation in India's financial services landscape.

Digital banking platform Freo, operated by Mwyn Tech, has successfully secured an undisclosed amount in debt funding from the Small Industries Development Bank of India (SIDBI), marking the latter's inaugural debt investment in the fintech sector.

Investment for Expansion

The funding infusion represents SIDBI's foray into supporting fintech ventures and underscores its confidence in the sector's potential to drive financial inclusion and entrepreneurship nationwide. Freo plans to utilize the fresh capital to diversify its offerings across new categories and segments while expanding its presence throughout India.

Empowering Financial Inclusion

Founded in 2022 by Craig Savage and Spencer McLain, Freo operates under the guiding principle of 'pay, save, borrow,' catering to the diverse financial needs of Indian consumers. The platform provides an array of financial products, including credit lines, credit cards, credit-on-UPI through Rupay, and savings solutions.

Excitement Over Partnership

Anuj Kacker, cofounder of Freo, expressed enthusiasm about the collaboration with SIDBI, marking a significant milestone in Freo's journey. He emphasized the partnership's potential to foster a mutually beneficial and enduring relationship, reflecting Freo's commitment to innovation and growth in the fintech landscape.


Established in April 1990, SIDBI is dedicated to promoting, financing, and developing the Micro, Small, and Medium Enterprises (MSME) sector in India. Apart from supporting MSMEs, SIDBI actively invests across various sectors, including mobility, startups, and other emerging segments. The institution manages several Fund of Funds (FoF) programs on behalf of the Indian government and state governments.

Industry Dynamics

The investment comes at a crucial time for India's fintech industry, which witnessed a significant decline in VC funding in 2023. Despite the challenging funding environment, Freo's partnership with SIDBI reflects optimism about the fintech sector's resilience and potential for growth, particularly in driving financial inclusion initiatives.