Aavas Financiers Receives 'Positive' Outlook Upgrade from CARE Ratings, Signaling Strong Growth Trajectory

JAIPUR, September 27, 2025 — Aavas Financiers Limited, a leading affordable housing finance company in India, has received a significant endorsement from CARE Ratings Limited, which reaffirmed the company's long-term credit rating while simultaneously revising the outlook from 'Stable' to 'Positive'.

The credit rating of 'CARE AA; Positive' (Double A; Outlook: Positive) was reaffirmed for both the company's INR 9,662 crore long-term bank facilities and its INR 1,339.11 crore Non-Convertible Debentures. This upgrade to a 'Positive' outlook indicates CARE Ratings' high confidence in the potential for a future rating upgrade, driven by Aavas' sustained financial prudence, healthy asset quality, and expanding operational scale.

Mr. Sachinder Bhinder, MD & CEO of Aavas Financiers Limited, expressed his satisfaction with the development, stating, "This recognition reflects our continued commitment to financial prudence, strong governance, and customer-centricity. At Aavas, we remain focused on empowering underserved communities by providing affordable housing finance solutions."

Fueling Financial Inclusion and the 'Green Home' Dream

The positive rating action is underpinned by Aavas Financiers' unique and effective business model, which is deeply rooted in financial inclusion. The company is primarily focused on serving low-to-middle-income segments, particularly in semi-urban and rural areas of India, a demographic often overlooked by traditional banking institutions. Aavas has built a strong presence in the 'unserved' market, currently managing over INR 20,000 crore in Assets Under Management (AUM) and serving over 250,000 active customers across more than 400 branches in 14 states.

A key pillar of Aavas’ recent growth has been its emphasis on social and environmental sustainability. The company is a pioneer in the Affordable Green Housing segment, actively promoting eco-friendly construction practices and designs among its customers. This includes offering 'Green Home' financing solutions and recently hosting ceremonies to felicitate beneficiaries under the government’s Pradhan Mantri Awas Yojana (PMAY) who have also adopted green construction standards. By catering to customers with limited formal income documentation through a high-touch, localised appraisal process, Aavas is not just financing houses but is enabling social stability and contributing to the national vision of 'Housing for All'. This strong growth trajectory, combined with robust asset quality and operational discipline, is what has led CARE Ratings to upgrade its outlook, cementing Aavas' position as a market leader with a purpose.