NEW DELHI/TOKYO: Japan’s Mitsubishi UFJ Financial Group (MUFG) is set to invest more than $4 billion for a roughly 20% stake in Indian non-bank financial company Shriram Finance, with the deal to be closed on Friday, two people with knowledge of the matter said. MUFG declined to comment, while Shriram Finance did not respond to Reuters’ queries. It would be the latest in a string of overseas expansion deals by Japanese banks, which are looking for stronger growth than is available in a domestic market where the population is ageing and declining. India has become a popular destination due to its fast-growing economy. Larger Japanese rival Sumitomo Mitsui Financial Group bought 24.2% of Indian lender Yes Bank this year, starting with a 20% stake for $1.6 billion in May. Japan’s Mizuho Securities said on Wednesday it would buy a majority stake in Indian investment bank Avendus from U.S. investment firm KKR for up to 81 billion yen ($523 million). Bloomberg reported on Monday that MUFG may invest more than $3.2 billion in the Shriram Finance deal, but the two sources said the amount will be much higher. While both said the amount will be in excess of $4 billion, one of the sources put the number at about $4.3 billion, or 390 billion Indian rupees. They declined to be named because the details are confidential. Shriram Finance late on Tuesday told Indian stock exchanges that its board would meet on Friday to discuss and approve a proposal to raise funds, without elaborating. Shriram Finance is one of India’s biggest retail non-banking financial entities, offering credit solutions for commercial vehicles, cars, scooters and personal loans. Its assets under management stood at 2.8 trillion Indian rupees, or $31 billion, as of the end of September.