Two in a row for Sachin Bansal today. While we just got the news of him acquiring distressed insurance company DHFL for $14M, he might just get additional financial firepower to continue his fintech dream. According to a disclosure report filed by IFC, World Bank, through its investment arm International Finance Corporation (IFC) will buy a 4.5% stake in Sachin Bansal’s NAVI. The deal is expected to cost World Bank $30 million.

The investment is a part of Bansal’s taking over NBFC Chaitanya Rural Intermediation Development Services (CRIDS), of which Bansal became the CEO last year. Chaitanya comprises of two parts, Chaitanya Rural Intermediation Development Services (CRIDS) and  Chaitanya India Fin Credit Private Limited (CIFCPL). CIFCPL, which is a fully owned subsidiary of CRIDS, has submitted an application to the Reserve Bank of India(RBI) for a universal banking license and together, they aim to provide loans to low income customers from rural areas.

IFC’s investment in NAVI is to transform CIFCPL into a technology led universal bank (NAVI Bank), who’s sole aim will be to provide mass market banking solutions to individuals, micro, small and medium enterprises (MSME) and some corporates.

NAVI Bank will aim at allowing individuals and micro, small and medium enterprises (MSME) a simpler way to avail loans. The bank will house simpler terms for its customers and aim to achieve higher usage and deposit rates that will be tailored to suit the needs of them personally, hence encouraging better banking practices.

While yet to be officially launched yet, NAVI has already built a significant team with some of the most senior banking leaders joining the company. The company eventually aims at using data analytics to provide affordable, consumer-centric and technology-driven businesses in the BFSI (Banking, Financial Services & Insurance) space.

IFC aims to increase competitiveness in the Indian MSME banking sector with this new formula, hence leading to the growth of new digital banking models in India.