 "microfinance institutions")
Lenders need to keep close watch on micro loans with delays upto 29 days to avoid further deterioration in asset quality amid easing of stress.
The Covid-19 pandemic, which broke out in March 2020, has severely impacted the Microfinance sector owing to disruption it caused in supply chain & business operations, especially to the low-income group.
As the collection efficiency of the industry improved, the active-loan delinquency buckets are showing improvement in March 2021 compared to December 2020, according to Sidbi.
The 90-day-plus delinquency levels which increased sharply to 4.96 per cent in December 2020 have also moderated to 4.12 per cent in
