Indian Bank Ltd signed an agreement with Tata Motors Passenger Vehicles Ltd (TMPVL) and Tata Passenger Electric Mobility Ltd (TPEML) to provide inventory financing solutions to their authorised dealers for electric as well as other passenger vehicles.

The PSU lender will provide the two wholly-owned subsidiaries of Tata Motors Ltd with inventory financing solutions through its digital SCF (supply chain finance).

“Indian Bank supply-chain finance will provide easy access to working capital finance to the dealers of TML, at favourable terms for driving their business growth,” said Ashutosh Choudhury, Executive Director, Indian Bank.

“We are positive that this initiative will further support our vision to achieve the goal of greater choices in PVs, green mobility, and bolster sustainability,” said Ramesh Dorairajan, Vice President, Tata Motors Passenger Vehicle Ltd.

Last month, Indian Bank entered into a similar pact with Maruti Suzuki Ltd.