Bank Of America To Buy 49.9% Stake In Jio Credit For ₹18,268 Crore

Bank of America Corporation's subsidiary, NB Holdings Corporation, plans to acquire a 49.9% stake in Jio Credit, the lending arm of Jio Financial Services, for a sum of ₹18,268.22 crore. The investment will come through a preferential allotment of shares and warrants, following a definitive agreement between the two entities. This move is set to bolster Jio Credit's lending capabilities.

The Bank of America investment will initially grant it a 26.5% stake in Jio Credit, with the option to increase its ownership to 49.9% after the exercise of warrants. The transaction is contingent upon regulatory and statutory clearances, and Jio Financial Services will maintain its majority stake in the non-banking financial company.

The investment amount, around 2.5 times Jio Credit's estimated net worth of ₹7,259 crore, is significant. Jio Credit has swiftly grown its lending operations, amassing assets under management worth ₹30,667 crore as of June 30, 2026, just two years after commencing its business. This equity infusion aims to provide Jio Credit with the necessary capital to expand its lending portfolio and offer a broader array of financial products.

For Bank of America, this investment opens the door to participate in India's rapidly expanding financial services sector through a digitized platform. CEO Brian Moynihan expressed confidence in India's long-term growth potential, stating that the investment strengthens the lender's presence in one of the world's key markets.

Upon completion of the transaction, Jio Credit's board will have an equal representation from both Jio Financial Services and Bank of America. The existing management team will continue to oversee daily operations, while Jio Credit will remain a consolidated subsidiary of Jio Financial Services. Reliance Jio, Airtel, and Vi are also contemplating increasing mobile tariffs by 12-15% in India over the next three to four months.

The partnership between Bank of America and Jio Credit aims to leverage Jio's digital capabilities alongside Bank of America's global financial expertise to enhance credit delivery across India. It is expected to provide Jio Credit with access to BofA's expertise in financial services, technology, governance, and risk management as it continues to expand its lending business. The collaboration is set to boost access to credit for Indian consumers and businesses through a wider range of borrowing solutions.