NBFC Q2 loan sanctions up 17% YoY, personal loans up 90%: Report

Capex loan sanctions still in negative territory

Reflecting rising festival-like demand, the sanctions by non-banking finance companies rose 17 per cent in the second quarter (Q2FY22) on a year-on-year basis. The personal loan segment saw strong traction of 90 per cent, followed by consumer loan at 58 per cent, according to CRIF-FIDC.

While rural loan sanction has improved even compared to FY 19-20, urban demand for loans is still very muted. The sanctions for term loan and business loans both of which finance capital expenditure continued to shrink, showing deep effects of disruptions caused by pandemic.

Mahesh Thakkar, director general, Finance Industry Development Council (FIDC) said YOY