Microfinance Industry

The microfinance lender is targeting an AUM of Rs 9,000 crore in FY27

Microfinance lenders are expanding into secured products such as gold, mortgage and MSME loans as RBI's revised norms and asset quality pressures push them to diversify portfolios

Microfinance lender CreditAccess Grameen plans to increase overseas borrowings to $400 million annually over the next two to three years to diversify funding and support asset growth

Experts are calling for a reimagination of microfinance as credit costs rise with higher risk provisions and writeoffs

Microfinance loan portfolio fell to Rs 3.14 trillion in Q3 FY26, down 7.3% sequentially, with 50 lakh borrowers losing access to formal finance even as portfolio quality showed improvement

Analysts warn Bihar's proposed microfinance regulation could disrupt lending operations, weaken borrower credit discipline, and delay recoveries for NBFC-MFIs, banks and small finance banks

NBFC-MFIs are expanding into MSME loans, LAP and affordable housing finance as political developments, regulatory changes and sector stress push lenders to diversify beyond microfinance

IIFL Finance has appointed EY to conduct due diligence for a possible stake sale in its MFI arm Samasta, as the lender evaluates strategic options amid pressure on the microfinance portfolio

Arohan posts 87% jump in Q3 profit as asset quality improves

Aggregated portfolio outstanding stood at Rs 320.9 trillion in December 2025, down 7.2% Q-o-Q and 18% Y-o-Y, while 180-plus DPD stress rose sharply year-on-year

Standalone net profit climbs 95% year-on-year in Q3FY26 as gold loan AUM rises to ₹1.40 trillion and consolidated loan assets grow sharply

Some MFIs are turning into business correspondents. They are also looking for more secured loans, one of the products being loan against gold

After months of stress, India's microfinance sector is showing early signs of recovery, with industry leaders saying the worst is over as liquidity improves

The management said CreditAccess Grameen has witnessed normalisation in the asset quality trends across operating geographies enabling the company to re-focus on growth with confidence.

CreditAccess Grameen reported a positive performance in Q3FY26, with consolidated revenue rising 8 per cent year-on-year (Y-o-Y) to ₹1,490 crore from ₹1,380 crore

RBI's Financial Stability Report shows microfinance borrower indebtedness edged up in September 2025 after a two-year decline, even as credit and active borrowers fell in H1 FY26

Indian Bank's Sudhir Kumar Gupta outlines how credit, fintech partnerships and startup funding can help Uttar Pradesh move towards a $1 trillion economy

While Provisions bill dips; income flows stay subdued

RBI Deputy Governor Swaminathan J says India's financial system needs both the innovation and speed of T20 cricket and the discipline and longevity of Test cricket

According to sources, the bank may consider selling more such loan pools if the current portfolios receive strong interest from ARCs