Page 6 - Microfinance Industry

New guidelines for financial influencers under works, says Sebi

Merely giving disclaimers may not guard finfluencers from regulatory action

Microfinance sector grows over 16-fold to Rs 2.85 trn in last decade: Study

The microfinance industry grew over 16-times in the last decade with a loan portfolio of Rs 2.85 lakh crore, a study has said. Going forward customer engagement and protection will lay ground for the long-term sustainable growth. According to the 'Micro Matters: Macro View - India Microfinance Review FY 2021-22' report by Microfinance Institutions Network (MFIN), NBFC-MFIs (microfinance institutions) were the only regulated entity offering micro loans till 2012. The portfolio of the industry grew by 16.5-times from Rs 17,264 crore in March 2012 to Rs 2,85,441 crore as of March 2022. Banks and NBFCs started disbursing micro loans from 2016 while small finance banks (SFBs) joined in 2017. The functioning of MFIN as an SRO (self-regulatory organisation) since 2010 has enabled the sector to build its growth on strong pillars such as customer protection, industry code of conduct and policy advocacy, all of which contribute towards the building a responsible finance ecosystem, Devesh ...

We're moving away from volatile corporate bulk deposits: RBL Bank MD & CEO

In a Q&A, R Subramaniakumar dwells on the lender's strategy to fuel growth in credit cards and microfinance, and plans to mop up deposits in an increasingly difficult market

After RBI missive, FIDC asks NBFCs to revise codes of conduct

Has asked them to insert penalty cause for repeated breaches

Having more than one SRO is good for business: Sa-dhan CEO Jiji Mammen

'Multiple SROs mean a greater number of watchful eyes'

Microfinance disbursements slowed in Q1 FY23 after new regulations: MFIN

Lenders needed time to make policy changes after norms were updated in March 2022, says industry group

Microfinance loans grow 24% YoY in Q1 of FY23; credit quality stable

Fund flow to the sector has improved but some smaller MFIs still find it difficult to access finance from banks

MFIs' gross loan portfolio rises to Rs 2.9 trillion at March-end: Report

The same stood at Rs 2.6 lakh crore in the year-ago period

Spandana Sphoorty's Q4 consolidated net profit declines 42% to Rs 28.6 cr

The MFI aims to double assets to Rs 15,000 cr by FY25

Indian Microfinance industry's loan book grows 10% to Rs 2.85 trn in FY22

NBFCs increase market share while that of banks dips

MFIs' total loan portfolio grows 5% to Rs 2.6 trn as on March 2022: Report

Microfinance industry loan portfolio grew by 5 per cent year-on year to Rs 2,62,598 crore in the fiscal ended March 2022, according to a report by Sa-Dhan released on Tuesday.

Belstar Microfinance raises Rs 275 cr from Affirma Capital, others

Existing investors Muthoot Finance and Maj Invest also participated in the latest funding round

Reserve Bank of India removes interest cap for microfinance loans

Annual income criteria for loans hiked to Rs 3 lakh

Microfinance sector's contribution to GVA to be 2.7-3.5% by 2025-26: Study

The impact of the microfinance sector on Gross Value Added (GVA) of the economy is expected to be between 2.7 and 3.5 per cent by 2025-26, according to a study report released on Thursday. The report, 'Present and Potential Contribution of Microfinance to India's Economy', was prepared jointly by MFIN, an association for microfinance entities, and National Council of Applied Economic Research (NCAER). It presents an analysis of the contribution of microfinance institutions to the overall economy in terms of income or 'Gross Value Added', a measure of the national economic output and employment. The MFIN-NCAER report points out that during 2018-19, the contribution of the microfinance sector as a whole, to India's GVA was 2.03 per cent. The projected contribution of the microfinance sector to overall GVA, including the backward & forward linkages by 2025-26 would be a significant 2.7 per cent in the base case scenario and nearly 3.5 per cent in best case scenario, the report ...

Financial services player Northern Arc group buys Smile Microfinance

The transaction involves taking over the microfinance portfolio of Smile along with its 150 branches catering to over 2 lakh customers served by around 850 employees

India Ratings revises microfinance sector outlook to 'neutral' for FY23

India Ratings has revised upwards its outlook on the microfinance sector to 'neutral' from 'negative' next fiscal, on the back of a revival in growth that could clip at 30 per cent. The agency expects the sector to grow 20-30 per cent in both FY22 and FY23 in comparison to the below 10 per cent AUM (assets under management) growth in the previous two years. Given the yield limitations, mid- and small-MFIs have not seen comparable growth. While large MFIs will continue with their normal disbursement trends and new customer acquisitions as normalisation happens in FY22 and FY23, small- and mid-ones will ramp up their activities once the harmonisation guidelines are implemented. The agency see that the impact of the pandemic on credit cost has been largely absorbed by now, and there is a likelihood of normalised growth for these small lenders. Also, their collections, especially those disbursed after the pandemic, have recovered and refinance has become relatively easy now. Another ..

Micro-loan securitisation volumes may see impact in Q4 due to Covid: Icra

The securitisation volumes in microfinance loans, which saw improvement in the first nine months of FY22, may witness some impact in the fourth quarter due to concerns over the third Covid-19 wave

Top headlines: Experts see rupee holding strong, Realme overtakes Samsung

Mobile device maker Realme has overtaken South Korean giant Samsung to grab the second spot in the branded smartphone market. More on that in today's top headlines

MFI sector improves after 2nd wave, caution needed on asset quality: Report

The microfinance industry showed an improvement in disbursements, asset quality and new loan inquiries in the September quarter, a report said on Tuesday

Asset quality pressures on micro-lending ease in Q2Fy22: CRIF High Mark

The gross loan portfolio in microfinance rose by 2.1 per cent growth at Rs 2.49 trillion at end of September 21.