JSW MG Motor India Teams Up with Kotak Mahindra Prime for Flexible EV Financing

A strategic partnership between JSW MG Motor India and Kotak Mahindra Prime Limited (KMPL) aims to transform electric vehicle (EV) finance in India. The goal of this partnership is to minimize the upfront cost of EV ownership and encourage broad adoption by introducing creative financing options for the Battery-as-a-Service (BaaS) program.

Expanding Financing Solutions for EV Adoption

The BaaS effort, which aims to decouple battery expenses from the vehicle body, is supported by JSW MG's collaboration with KMPL. This strategy dramatically lowers the initial cost of EVs by providing flexible financing alternatives, increasing customer accessibility. One of the first significant car lenders to support this novel approach was KMPL, which improved the ecology for EV financing.

"We are dedicated to creating experiences that increase consumer delight, and we are relentless in our pursuit of innovation," stated Gaurav Gupta, Chief Growth Officer of JSW MG Motor India. "BaaS is a benchmark and a market disruptor in the electric vehicle sector. Our goal to accelerate EV adoption and broaden BaaS across a variety of financing partners is strengthened by our partnership with KMPL.

Strengthening a Long-Standing Partnership

The partnership between JSW MG Motor India and KMPL began in 2019 when they began working together on channel and retail finance. Another significant turning point in their collaboration is the addition of BaaS financing, which reaffirms their mutual dedication to provide cutting-edge financial solutions.

Kotak Mahindra Prime Limited's Managing Director and CEO, Vyomesh Kapasi, highlighted the importance of the partnership: "We at KMPL are committed to advancing innovation in auto finance. Our goal of providing affordable financing options and promoting the EV ecosystem in India is in line with our collaboration with JSW MG Motor India on the BaaS EV ownership model.

About the BaaS Program

The BaaS program, which was introduced in September 2024, enables consumers to finance the battery and EV independently by separating the two costs. By reducing the necessary initial expenditure, this concept tackles one of the main obstacles to the adoption of EVs: high upfront prices.

Benefits of the BaaS program

• Affordable Ownership: Lower initial purchase price by excluding battery cost.
• Financial Flexibility: Separate financing for the vehicle and battery.
• Boosted EV Sales: Increased affordability leading to renewed interest in electric vehicles.

With KMPL’s extensive network of dealer partnerships, the BaaS program’s reach will expand further, creating a broader impact on EV sales and accessibility.

Conclusion

The partnership between KMPL and JSW MG Motor India is a big move in the right direction for lowering the cost of EVs and increasing financing options. This collaboration opens the door for further EV adoption in India by removing the high entry cost related to battery pricing, helping to create a more sustainable mobility future.