Mahindra Tractors and PNB launch Rs 5 crore dealer financing scheme
Mahindra Tractors has partnered with Punjab National Bank (PNB) to offer improved financial support for its dealers. The agreement, formalised through a memorandum of understanding (MoU), aims to provide customised funding solutions. Dealers with over a year of business experience will now have access to easier credit options. The new programme allows dealers to secure financing of up to Rs 5 crore, based on 105 days of sales. They will also receive a 105-day credit period, along with an extra 15-day grace period. Additionally, the scheme covers 100% funding for Mahindra & Mahindra invoices, ensuring full financial backing.
The financing process has been streamlined with competitive interest rates and minimal paperwork. PNB’s digital FSCM (Finance Supply Chain Management) module will handle the facility, making transactions smoother for dealers. The partnership also accounts for seasonal demand, offering extra support during peak business periods.
Hemant Sikka, President of Mahindra’s Farm Equipment Sector, welcomed the collaboration, emphasising its role in strengthening the dealer network. Firoz Hasnain, Chief General Manager and Zonal Head of PNB’s Mumbai Zone, reiterated the bank’s dedication to fostering business growth through tailored financial products. Mahindra Tractors has encouraged dealers to visit their nearest PNB branch to begin the documentation process. The MoU between Mahindra Tractors and PNB introduces a structured financing system for eligible dealers. With funding limits of up to Rs 5 crore and extended credit terms, the initiative aims to ease financial pressures. The digital FSCM module and simplified procedures are expected to improve efficiency for dealers across the network.
