Rs 55,000 crore of MSME loans may become NPAs

Total credit portfolio of MSMEs is Rs 12 lakh cr

Of the total credit portfolio of micro, small and medium enterprises (MSME) sector of Rs 12 lakh crore, Rs 54,799 crore is at the risk of turning into non-performing assets (NPAs), according to TransUnion CIBIL, which released its ranking for the segment on Tuesday. 

Called the CIBIL MSME Rank (CMR), it provides a ranking to MSMEs based on their credit history data on a scale of 1 to 10, with CMR1 being the least risky and CMR10 being the riskiest. The rank is based on seven years of credit history data. The higher the CMR, the higher the risk of NPAs