Mumbai, India; 9 November 2026 - FCI and the Indian Banks' Association (IBA) have signed a Memorandum of Understanding (MOU), establishing a strategic institutional partnership to support the development of factoring, receivables finance and supply chain finance in India. The agreement brings together two organisations with complementary roles and extensive industry networks: IBA, representing the banking sector of one of the world's largest economies, and FCI, the global representative body for the factoring and receivables finance industry.
The partnership marks a significant milestone in the relationship between India's banking industry and the international factoring community. It establishes a formal framework through which both organisations intend to combine their institutional reach, industry expertise and resources to support the development of receivables finance in India.
The MOU was signed in Mumbai on 30 October 2026 by Ms Betül Kurtuluş, Secretary General of FCI, and Mr Ravi Valecha, Member of the FCI Executive Committee, representing FCI, and Shri Gopal Murli Bhagat, Deputy Chief Executive of IBA, representing the Indian Banks' Association, in the presence of Shri Atul Kumar Goel, Chief Executive, IBA.
An Institutional Partnership Supporting India's Economic Ambitions
With an economy exceeding USD 4 trillion and annual exports reaching a record USD 863 billion in FY 2025–26, India is one of the world's largest and most dynamic markets. Its ambition to reach USD 2 trillion in annual exports by 2030-31, alongside its Viksit Bharat vision of becoming a developed nation by 2047, highlights the importance of a financial sector capable of meeting growing business financing needs and supporting international trade.
Factoring and receivables finance have an important role to play in this development, providing businesses with access to working capital while strengthening domestic and international supply chains.
Through this agreement, IBA establishes a direct institutional connection between India's banking community and the global factoring industry, while FCI gains a structured framework for working alongside Indian banks to promote market development, professional capabilities and international cooperation.
Bringing Together Two Industry Networks
IBA provides a collective platform for India's banking institutions, supporting industry coordination, dialogue with policymakers and regulators, and the advancement of banking practices.
FCI contributes its global network of financial institutions, international factoring expertise, industry standards, professional education and experience in developing receivables finance markets worldwide.
Together, the organisations aim to create opportunities for Indian banks to strengthen their factoring and receivables finance capabilities, exchange knowledge and best practices, deepen international connections and expand their participation in cross-border financing.
A Joint Framework for Industry Development
The MOU establishes a framework for sustained cooperation, focusing on professional education and capacity building, knowledge exchange, international best practices, industry research, market awareness and stakeholder engagement.
Potential joint initiatives include technical workshops, industry publications, conferences and other programmes designed to strengthen the Indian receivables finance market. Both organisations will identify priorities and review progress as their cooperation develops.
Shri Atul Kumar Goel, Chief Executive of IBA, expressed: "Factoring has the potential to transform the financing landscape for Indian MSMEs by unlocking liquidity tied up in receivables and strengthening their ability to compete in global markets. Through our partnership with FCI, IBA is committed to promoting awareness, building capacity and enabling member banks to adopt factoring as a mainstream financing solution to support India’s export growth, firmly aligning with the Government of India's Export Promotion Mission (EPM) to aggressively scale national export volumes and enhance global trade competitiveness.”
Ms. Chenyue Mao, Chairwoman of FCI, shared: “India has significant potential for the further development of factoring and receivables finance. Through this partnership, we have an opportunity to bring FCI's international experience, expertise and global network closer to India's banking community. By working together with IBA, we can support greater industry awareness, strengthen professional capabilities and encourage the wider adoption of factoring as an important financing solution for Indian businesses, particularly MSMEs.”
Ms. Betül Kurtuluş, Secretary General of FCI, commented: “This agreement marks a significant milestone for FCI and our engagement with India's banking sector. By combining IBA's institutional reach with FCI's global network and expertise, we are establishing a strong foundation for long-term cooperation. Our ambition is to turn this partnership into concrete initiatives that strengthen banks' factoring capabilities, expand international connections and support India's ambitious trade and economic growth objectives.”
Mr. Ravi Valecha, Member of the FCI Executive Committee, highlighted: “This partnership creates an important bridge between India’s banking sector and the global factoring community. By combining FCI’s international expertise with IBA’s extensive industry reach, we can strengthen receivables finance capabilities in India, expand access to working capital for Indian businesses, particularly MSMEs, and support their growing participation in domestic and international trade.”
A New Chapter in FCI's Engagement with India
The agreement follows FCI's regional conference, Advancing Factoring in India: Global Insights, Local Opportunities, held in Mumbai on 26 and 27 October 2026. The signing represents an important step from industry dialogue towards a formal framework for institutional cooperation.
Through this partnership, FCI and IBA aim to strengthen India's receivables finance sector, encourage greater participation by financial institutions and support the country's growing role in international trade.
About FCI
FCI is the Global Representative Body for Factoring and Financing of Open Account Domestic and International Trade Receivables. FCI was set up in 1968 as a non-profit global association. With over 350 member companies in more than 90 countries today, FCI offers a unique network for cooperation in cross-border factoring. Member transactions represent nearly 60% of the world’s international correspondent factoring volume.
FCI is a non-exclusive organisation, open to any company that provides Factoring Services or plans to set up Factoring Activities as well as to service providers to the industry.
FCI offers three major areas of activities:
-
CONNECT: the Business network supports cross-border factoring activities through which its members cooperate as export and import factors
-
EDUCATE: FCI promotes and develops best practices in both domestic and international factoring and related Open Account Finance products
-
INFLUENCE: FCI promotes and defends the Industry with stakeholders and policy makers worldwide
About the Indian Banks' Association
Established in 1946, the Indian Banks' Association (IBA) plays a crucial role in engaging with key stakeholders, including RBI, Department of Financial Services (DFS), Ministry of Finance, Other Government Ministries, Statutory Authorities, and Global Industry Associations, to shape policies, promote best practices, and represent the collective interests of its member Banks/FIs.
IBA is recognized as the apex representative body for the Indian Banking and Financial Services Sector, having over 235+ member banks /FIs, including Public Sector Banks, Private Sector Banks, Foreign Banks, Urban Co-operative Banks, Small Finance Banks, Regional Rural Banks, and Financial Institutions.
IBA serves as an important platform for cooperation across the banking sector, representing common industry interests and facilitating engagement with government authorities, regulators and other stakeholders.
Through its work in policy dialogue, professional development, knowledge sharing and the promotion of sound banking practices, IBA contributes to the continued development and strengthening of India's banking system.