Microfinance Industry

ESAF Bank to sell ₹735 cr in NPAs, write-offs amid MFI sector stress

ESAF Small Finance Bank approves sale of ₹735 crore in stressed loans to ARCs, with over 90% provisioned; microfinance delinquencies continue to weigh on sector

Microfinance industry refashions itself amid opportunities and challenges

Central bank has taken a sympathetic view of institutions by easing some lending norms

Share of small-ticket gold loans to rise as RBI eases the LTV norms

Repo rate cut, liquidity infusing to aid NBFCs performance

RBI considers fresh guidelines to curb mis-selling: Deputy governor Rao

RBI Deputy Governor M Rajeshwar Rao flags unethical recovery practices and high interest rates in microfinance, says guidelines to address mis-selling may be considered

Spandana Sphoorty plans to scale back operations in Kerala and Gujarat

Stock down 4.4 per cent on BSE; eyes 20 per cent AUM growth in FY26

CreditAccess Grameen Q4 results: Net profit down 88.1% at ₹47.2 crore

Net profit drops to ₹47.2 crore in Q4FY25 due to accelerated write-offs, even as FY25 profit rises 63.2%; lender targets up to 18 per cent loan growth in FY26

Microfinance provisions peaked in Q4, says IDFC First Bank MD and CEO

Provisions against microfinance segment have peaked in Q4FY25

A phoenix moment for MFI stocks as they rise from the ashes of doubt

Darkest hour is over, MFI stocks soar 15-21% as crisis turns into catalyst

IndusInd Bank says conducting internal review of microfinance business

IndusInd's shares, which have fallen 13% since the derivative accounting lapse was disclosed, closed 5% lower on Tuesday

Microfinance firm Satin Creditcare expects 10-15% loan growth in FY26: CMD

Microfinance firm Satin Creditcare Network is aiming 15 per cent loan growth during the current financial year, on account of expected good monsoon and easing interest rates. "We have closed FY '25 with the Assets under Management at Rs 11,300 crore registering a growth of 7 per cent but the coming year should be better in terms of business," Satin Creditcare Network Chairman cum Managing Director HP Singh told PTI. The stress in the microfinance sector is settling down and it should take one or two quarters for things to get normal depending on the individual entity, he said. Going forward, he said, "we expect loan growth of 10-15 per cent as there is normal monsoon forecast and easing interest rate bringing down cost for us and our customers." Asked about fund needs to meet business expansion, he said, there is a good pipeline to take care of growth requirements for the current financial year and the company can raise further capital in case of need. Last month, Satin Creditcare

Microfinance: Its rising importance and relevance in the Indian economy

Presently, MFIs account for around 40% of the portfolio while the remainder is shared by banks, SFBs and NBFCs. The overall portfolio touched Rs 4.4 trn with around 85 mn unique borrowers last year

India subprime loans on edge of crisis with distress among 68% borrowers

The $45 billion industry will probably muddle through its latest difficulties, though analysts want the central bank to come up with more robust supervision

MFI loans down 41.7% to 11.9 million in Dec quarter, NPAs zoom: Report

The number of microfinance (MFI) loans disbursed by lenders declined 41.7 per cent to 1.19 crore in the December quarter, according to a report by credit information company Crif High Mark. The amount disbursed to the borrowers who come from the poor and marginalized communities declined 34.9 per cent to Rs 63,440 crore as against Rs 97,400 crore in the year-ago period. Loans unpaid for 31 to 180 days jumped to 6.4 per cent of the portfolio at the end of December 2024, from the 2 per cent level in the year-ago period, the Crif report said. The overall portfolio declined by 4 per cent on-year and by 5.4 per cent on- quarter to Rs 3.91 lakh crore, the report said, attributing it to industry calibrations, including regulatory guidelines, risk realignmentand changes in underwriting and collection strategies. Crif said the ongoing shifts on the metrics may have its origins in the moves undertaken by the industry lately. "Stricter regulatory guidelines, such as caps on the number of ..

Spandana Sphoorty slips 6% in 2 days, nears record low on growth concerns

In the past six months, the market price of Spandana Sphoorty has tanked 60 per cent, as compared to the 10 per cent decline in the BSE Sensex.

China cracks down on wealth flaunting, sets new rules for finance sector

In recent years, the Chinese government has increased its actions and criticism of conspicuous consumption and the flaunting of wealth on social media

K'taka microfinance ordinance effect: MFI loan disbursements may slow down

The assets under management (AUM) of microfinance institutions (MFIs) in the state stood at Rs 60,000 crore at the end of March 2024

Microfin ordinance sent to K'taka Guv, gives up to 10 yr jail for violation

Aimed at protecting borrowers from harassment by microfinance institutions (MFIs), the Karnataka government has drafted an ordinance, with penal provisions, including a jail term up to ten years, and fine as high as Rs five lakh for violation. Confirming this, State Home Minister G Parameshwara on Tuesday said, the Karnataka Micro Finance (Prevention of Coercive Actions) Ordinance 2025 has been sent to Governor Thaawarchand Gehlot for his assent. "It was three years (in initial draft), now we have increased it. Fine has also been increased to five lakh. This is to ensure that the heat of the law is felt (by violators). If a law is made with perfunctoriness just like that, such incidents won't stop. Hence, the fine (amount) and imprisonment (period) has been increased, so that it in a way, becomes a deterrent," Parameshwara said, responding to a question about punishment being increased to ten years imprisonment. Speaking to reporters here, he said, "The Governor was out of town, and

Microfinance sector seeks support to tackle its several challenges

Microfinance has shown capability and resilience in every crisis: Demonetisation or Covid-19. Attention to the issues it faces can make the sector even more vibrant

MFIN dismisses reports about alleged harassment by microfinance firms

The Microfinance Industry Network (MFIN) on Thursday dismissed reports about alleged harassment by microfinance companies in the state, claiming that a small section of "ill-informed" individuals with the aid of unauthorised entities were indulging in "unscrupulous" rumourmongering. Recently, various organisations also staged protests in different parts of the state condemning the atrocities and oppression carried out by microfinance companies and demanded action against them. "The recent reports of protests against MFIs are from a small section of "ill-informed" individuals with the aid of unauthorised entities, indulging in unscrupulous rumourmongering," Rama Kamaraju, Head, State Initiatives, MFIN said in a press conference here. The MFIN is a Self-Regulatory Organisation recognised by RBI and the Association of Karnataka Microfinance Institutions. "We wish to assure you all that we follow a very well calibrated advisory approach and have our eye on the ball at all times," he ..

December numbers signal improving microfinance situation: MFIN CEO

'Committed to ensure rates are set so that micro lending is viable, gains are passed to clients'