MFI loans decline 2.3 pc in June qtr, NPAs rise: Report
Loan portfolio of microlenders reduced by 2.3 per cent quarter-on-quarter to Rs 4.32 lakh crore in April-June while NPAs surged, a report said. Notably, for the last few months, microfinance institutions, banks and small finance banks which extend MFI loans, have been reporting challenges on this portfolio, and the regulator has also flagged the same.
Over-leveraging among the borrowers is being flagged as a key aspect, impacting asset quality.
The report by Crif High Mark, a credit information company said, there was 17.2 per cent increase in the borrowers having more than five active loan accounts in June when compared with the year-ago period, with highest growth seen in West Bengal and Karnataka.
Nearly half of the rise in stress on an incremental basis when compared to the year-ago period came from borrowers who have five or more active loans, the company said.
There was 31.2 per cent QoQ drop in the amount disbursed in the first quarter of FY25 at Rs 79,000 crore while the number of loans disbursed fell 32.1 per cent to 1.62 crore.
Finance
AI and Generative AI for Finance
By — Hariom Tatsat, Vice President- Quantitative Analytics at Barclays
Marketing
Performance Marketing for eCommerce Brands
By — Zafer Mukeri, Founder- Inara Marketers
Artificial Intelligence(AI)
Tabnine AI Masterclass: Optimize Your Coding Efficiency
By — Metla Sudha Sekhar, IT Specialist and Developer
Finance
A2Z Of Money
By — elearnmarkets, Financial Education by StockEdge
Web Development
Intermediate C++ Skills: Master Pointers, Structures
