IFC invests $2.7 mn in ATM firm Vortex Eng

The International Finance Corporation (IFC), a member of the World Bank Group, will invest USD 2.7 million as equity in low-cost ATM manufacturer Vortex Engineering in the later's bid to expand business, Vortex said here today.

The Chennai-based company said the present capital infusion would support its business growth along with facilitating its entery into other developing markets.

"IFC's assistance in implementing technology-led banking services would eventually help us take our offerings to other developing countries," its chief executive Vijay Babu said. According to the company, the domestic ATM market is expected to grow threefold over the next three years, with bulk of the machines bound for remote areas due to the ongoing financial inclusion drive.

"The investment will help in taking basic banking and financial inclusion schemes to rural and semi-urban areas," IFC director for South Asia, Thomas Davenport said. "Bringing banking close to home means a lot in a country where less than one-fifth of over 600,000 villages have a banking touch-point," he added. Vortex manufactures low-cost ATMs especially designed for rural markets and uses solar power to run these machines.