India Mortgage Guarantee Corporation (IMGC), India’s first mortgage guarantee company, has announced a strategic partnership with Bajaj Housing Finance Limited (BHFL), India’s largest non-deposit taking HFC offering the full suite of mortgage products to expand responsible access to home loans for underserved and first-time homebuyers across India.
The collaboration combines IMGC’s expertise in credit risk protection with BHFL’s strong distribution and last-mile lending capabilities to extend formal housing finance to borrowers often excluded due to limited credit histories or informal income profiles.
India’s affordable housing segment continues to face a sizeable credit gap, particularly among self-employed individuals and informal workers. Through this partnership, Bajaj Housing Finance will leverage mortgage guarantee-backed solutions to expand access to home loans — including through Sambhav Loans, its affordable housing offering designed specifically for customers with informal income profiles or limited credit history — while maintaining the risk discipline that underpins responsible lending. The partnership will also enable IMGC to deepen its presence in the affordable housing space, supporting the development of a more inclusive housing finance ecosystem and helping bridge the significant housing credit gap across India.
Speaking on the partnership, Mr. Mahesh Misra, MD and CEO, IMGC, said: “This partnership with Bajaj Housing Finance is a step forward in expanding access to housing finance for underserved segments. Mortgage guarantees play a key role in enabling lenders to extend credit with confidence, while maintaining strong risk discipline. With mortgage penetration in India still relatively low compared to global benchmarks, the opportunity to scale responsible lending remains significant, and risk-sharing solutions like mortgage guarantees are critical to unlocking it responsibly”
India’s total outstanding housing credit stood at ₹43 trillion as of February 2026, yet mortgage penetration remains low at around 11-12% of GDP — compared with over 50% in several developed markets, highlighting the significant opportunity to deepen housing finance access across the country. EY estimates a 25% CAGR in India’s affordable housing segment between 2022 and 2027, with ten states including Maharashtra, Karnataka, and Uttar Pradesh accounting for over three-quarters of national demand.
About Bajaj Housing Finance Limited (BHFL)
Classified as an ‘Upper-Layer NBFC’ by the RBI pursuant to Scale Based Regulations, Bajaj Housing Finance Limited (BHFL) is a subsidiary of Bajaj Finance Limited — one of the most diversified NBFCs in the Indian market, catering to more than 115.40 million customers across the country. Headquartered in Pune, BHFL offers finance to individuals as well as corporate entities for the purchase and renovation of homes, or commercial spaces. It also provides loans against property for business or personal needs as well as working capital for business expansion purposes. BHFL also offers finance to developers engaged in the construction of residential and commercial properties as well as lease rental discounting to developers and high-net-worth individuals. The Company is rated AAA/Stable for its long-term debt programme and A1+ for its short-term debt programme from CRISIL and India Ratings.
About India Mortgage Guarantee Corporation (IMGC)
IMGC is India’s first mortgage guarantee company (incorporated in 2012). IMGC is regulated by the Reserve Bank of India’s (RBI) guidelines for mortgage guarantee companies (2008). Born out of a vision for making housing affordable, its primary objective is risk mitigation for lending institutions by providing a backstop against credit defaults.IMGC currently has Enact MI, Sagen, National Housing Bank, International Finance Corporation, and Asian Development Bank, as its shareholders. It provides mortgage guarantees on retail home loans to various mortgage lenders. IMGC has achieved significant success since its commencement of operations in 2014, which is reflected in its existing book size, growth, and partnerships with lenders. It has surpassed ₹44,000 crores in home loan guarantees for over 150,000 customers across 400 locations nationwide. The firm has collaborated with over 23 lending institutions, including banks, housing finance companies (HFCs)
