NBFCs continue to hold major share in retail loans despite liquidity crisis

Although NBFCs are facing a huge liquidity crisis, the sector remains the preferred choice when it comes to retail loans, especially for new credit customers. In FY19, NBFCs had a 30% share in outstanding retail loans, while public sector lenders had a 39% share and private banks had 26%. As far as share of new retail loans to new credit customers is concerned, NBFCs had a lion's share of 56% by volume and 40% share by value in FY19, thereby completely outperforming public and private sector lenders 

Source: FIBAC 2019 report