STOCK MARKET DESK

Anil Ambani group's financial services arm Reliance Capital today launched its microfinance initiative here with tie-ups for two states, which it said would be followed by a national rollout soon.

Reliance Capital said it is joining hands with two Gujarat-based microfinance institutions -- MAS Financial Services Ltd and Vardan Trust -- as part of its initiative to enhance penetration of microfinance in the country.

The initiative was launched by group chairman Anil Ambani's wife Tina Ambani, who handed over the first disbursement cheques.

Reliance Capital said it plans to fund MFIs in Gujarat and Maharashtra in the first phase, and subsequently have a national presence.

"Our vision is to provide access to finance at the grassroot level by partnering with MFIs serving the rural and semi-urban areas. This initiative is in line with the groups commitment to play a serious role in bringing value to the lives of the underprivileged and the aged in India," Tina Ambani told reporters.

"The initiative envisages lending to MFIs, which would then be on-lending finances to Self Help Groups, Individuals and Joint Liability Groups as per their norms," Reliance Consumer Finance' Deputy CEO K V Srinivasan said.