In a significant step towards enhancing dealer financing options, Ashok Leyland, the Indian flagship of the Hinduja Group and one of India’s leading commercial vehicle manufacturers, has entered into a strategic partnership with Indian Bank to extend customised financial solutions to its Medium and Heavy Commercial Vehicle (M&HCV) channel partners.
The partnership was formalised with the signing of a Memorandum of Understanding (MoU) between the two entities. The signing ceremony saw Mr. C. Neelakantan, Head Treasury and Direct Taxation, Ashok Leyland, and Mr. Saurabh Dalmia, Head Cash Management, Indian Bank, ink the agreement in the presence of key dignitaries including Ms. Madhavi Deshmukh, National Sales Head MHCV, Ashok Leyland, and senior officials from Indian Bank Mr. Ashutosh Choudhury (Executive Director), Ms. Roopali Singh (DGM-CMS Vertical), and Mr. Munash Dalal (AGM-CMS Vertical).
As part of the collaboration, Indian Bank will offer comprehensive financial products specifically designed for Ashok Leyland’s M&HCV dealer network. The solutions include faster credit approvals, competitive interest rates, improved liquidity management, and flexible repayment options critical components to help dealers manage working capital and scale operations efficiently.
“This partnership with Indian Bank is a strategic move to provide our valued M&HCV dealers with tailored finance solutions that meet their evolving business needs,” said Mr. Balaji K M, CFO, Ashok Leyland. “With Indian Bank’s expansive reach through its 5,880 branches nationwide, we can now ensure enhanced access to finance across regions. This move not only fortifies our market presence but also reinforces our commitment to delivering exceptional experiences to our partners and customers alike.”
Adding to this, Ms. Madhavi Deshmukh, National Sales Head MHCV, Ashok Leyland, noted, “This strategic collaboration with Indian Bank enables us to provide exceptional and customised financing solutions to our dealers. It extends our market outreach and underlines our commitment to innovation, ease of doing business, and the long-term success of our dealer network.”
On the other side of the table, Indian Bank also sees this alliance as a natural fit with its goal of supporting India’s automotive and commercial vehicle ecosystem. Mr. Ashutosh Choudhury, Executive Director, Indian Bank, commented, “Indian Bank is pleased to partner with Ashok Leyland to provide their dealers with seamless and tailored financing solutions. This collaboration reaffirms our commitment to supporting the diverse financial requirements of businesses in the commercial vehicle sector. With Indian Bank’s best-in-class processes, we are confident that more dealers will benefit from this partnership, enabling them to scale their operations and drive business growth.”
The collaboration comes at a time when vehicle manufacturers are increasingly focusing on strengthening their ecosystem – not just with new products, but also through financial empowerment of their dealers. For Ashok Leyland, this move reaffirms its broader commitment to enabling sustainable business growth within its partner network.
By simplifying access to finance, the initiative is expected to unlock greater operational flexibility for Ashok Leyland’s dealers. Customised funding options from Indian Bank will aid in addressing short-term financial needs, while also paving the way for long-term expansion and better working capital management.
The strategic alignment between Ashok Leyland’s market leadership in the M&HCV space and Indian Bank’s robust banking infrastructure is expected to make a meaningful impact. Together, they aim to create a more agile, well-financed dealer ecosystem capable of meeting customer expectations and driving forward India’s commercial mobility landscape.
