Microfinance Industry

Micro lenders turn to secured loans to negate asset quality pressures

Microfinance lenders are expanding into secured products such as gold, mortgage and MSME loans as RBI's revised norms and asset quality pressures push them to diversify portfolios

CreditAccess Grameen to scale overseas borrowings to $400 mn a year

Microfinance lender CreditAccess Grameen plans to increase overseas borrowings to $400 million annually over the next two to three years to diversify funding and support asset growth

MFIs may have to grin and bear for some time amid rising credit costs

Experts are calling for a reimagination of microfinance as credit costs rise with higher risk provisions and writeoffs

Microfinance portfolio drops 7.3% to ₹3.14 trillion in Q3, says MFIN

Microfinance loan portfolio fell to Rs 3.14 trillion in Q3 FY26, down 7.3% sequentially, with 50 lakh borrowers losing access to formal finance even as portfolio quality showed improvement

Bihar MFI bill may disrupt operations, delay recoveries, say analysts

Analysts warn Bihar's proposed microfinance regulation could disrupt lending operations, weaken borrower credit discipline, and delay recoveries for NBFC-MFIs, banks and small finance banks

NBFC-MFIs diversify beyond microfinance into LAP and housing loans

NBFC-MFIs are expanding into MSME loans, LAP and affordable housing finance as political developments, regulatory changes and sector stress push lenders to diversify beyond microfinance

IIFL Finance hires EY for due diligence on potential Samasta stake sale

IIFL Finance has appointed EY to conduct due diligence for a possible stake sale in its MFI arm Samasta, as the lender evaluates strategic options amid pressure on the microfinance portfolio

MFI sector continues signs of stabilisation in Q3 FY26: Arohan Financial

Arohan posts 87% jump in Q3 profit as asset quality improves

Microfinance sector portfolio sees contraction, asset stress builds up

Aggregated portfolio outstanding stood at Rs 320.9 trillion in December 2025, down 7.2% Q-o-Q and 18% Y-o-Y, while 180-plus DPD stress rose sharply year-on-year

Muthoot Finance's Q3 FY26 results: Profit rises 95% to ₹2,656 crore

Standalone net profit climbs 95% year-on-year in Q3FY26 as gold loan AUM rises to ₹1.40 trillion and consolidated loan assets grow sharply

Wanted: A new model for microfinance as MFIs explore secured products

Some MFIs are turning into business correspondents. They are also looking for more secured loans, one of the products being loan against gold

Better liquidity key for microfinance sector's recovery: Industry experts

After months of stress, India's microfinance sector is showing early signs of recovery, with industry leaders saying the worst is over as liquidity improves

CreditAccess Grameen zooms 100% from 52-wk low; brokerages see more upside

The management said CreditAccess Grameen has witnessed normalisation in the asset quality trends across operating geographies enabling the company to re-focus on growth with confidence.

CreditAccess Grameen surges 9% as stock bags upgrades post Q3 results

CreditAccess Grameen reported a positive performance in Q3FY26, with consolidated revenue rising 8 per cent year-on-year (Y-o-Y) to ₹1,490 crore from ₹1,380 crore

Microfin borrower indebtedness rises marginally in Sept after two-year dip

RBI's Financial Stability Report shows microfinance borrower indebtedness edged up in September 2025 after a two-year decline, even as credit and active borrowers fell in H1 FY26

BS Samriddhi: 'Uttar Pradesh has turned into a vibrant startup hub'

Indian Bank's Sudhir Kumar Gupta outlines how credit, fintech partnerships and startup funding can help Uttar Pradesh move towards a $1 trillion economy

Listed MFIs slash Q2 losses to ₹61.8 crore amid sharp drop in provisions

While Provisions bill dips; income flows stay subdued

RBI Deputy Governor bats for T20 agility, Test stability in finance

RBI Deputy Governor Swaminathan J says India's financial system needs both the innovation and speed of T20 cricket and the discipline and longevity of Test cricket

Bandhan Bank to sell unsecured NPAs worth nearly ₹7,000 crore to ARCs

According to sources, the bank may consider selling more such loan pools if the current portfolios receive strong interest from ARCs

MFIs need to rebuild credibility, confidence to achieve growth: Study

Microfinance institutions (MFIs) need to rebuild credibility and confidence to achieve sustainable growth, a joint study by consultancy firm PwC and Sa-Dan, a self-regulatory organisation (SRO) of the sector, said. Microfinance, which is principally underpinned by trust among the stakeholders, who are the borrowers, field officers and lending institutions, has become more transactional, the study said. Major setbacks like demonetisation and the Covid pandemic have further exacerbated the decline in group culture in microfinance, which has had a widespread impact on repayment discipline and public confidence, the study pointed out. "Rebuilding credibility and confidence remains a major challenge to achieving sustainable growth", the study said, adding that empowering and equipping customers with adequate information is crucial in regaining their trust. According to the study, MFIs have also experienced declining support from external stakeholders, including investors and refinancers