Cheap housing push to boost micro finance in sector

MFI mostly serves people who work in informal sector and hail from middle- and low-income groups

The Union Budget for financial year (FY) 2017-18 providing incentives for affordable housing would give a much-needed shot in the arm to micro finance firms in the sector.

A relatively new sector, it mostly serves people who work in the informal sector and hail from middle- and low-income groups. In most cases, those who seek micro housing finance do not have documents required for getting regular bank loans.

Over the past three months, a number of micro housing finance companies have seen a dip in business because of demonetisation of high-denomination currency notes.

Most micro housing finance companies provide loan