 "The limit of loans under the Pradhan Mantri Mudra Yojana (PMMY) was doubled to Rs 20 lakh recently, inserting a new category—Tarun Plus. Launched 10 years ago, the scheme intended to provide microfinance to small entrepreneurs. However, the number of")
Until recently, India’s microfinance industry faced the challenge of rising bad loans. By the time it has got a grip on the situation, another challenge, an equally daunting one, has cropped up.
A few smaller microfinance lenders are facing difficulties servicing bank loans; some may have even defaulted.
Since the industry hasn’t been in the best of health, some banks, their primary lenders, have closed the money tap.
When money is in short supply, it’s difficult for those non-banking financial companies (NBFCs) that operate in the microfinance segment – NBFC-MFIs – to expand their loan book since they first need
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