MFIs' gross loan portfolio rises to ₹2.9 lakh crore at March-end: Report

PTI Updated - July 13, 2022 at 05:07 PM.
The live customer base of the microfinance industry grew by 1.7 per cent year-on-year.

The Gross Loan Portfolio (GLP) of microfinance industry grew by 10.2 per cent to nearly ₹2.9 lakh crore at the end of March, says a report.

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

On a sequential basis, the GLP rose by 8.6 per cent during the period that ended March 2022.

Banks continue to dominate the microfinance market with portfolio share of 37.7 per cent, followed by NBFC-MFIs with a share of 33.3 per cent and Small Finance Banks (SFBs) at 17.1 per cent, as of March 2022, according to a quarterly report released by CRIF High Mark, a credit information bureau, on Wednesday.

During Q4FY22, ₹191.2 lakh loans were disbursed, a growth of 15.5 per cent compared to Q3FY22. However, it was a decline of 17.2 per cent compared to Q4FY21.

The live customer base of the industry grew by 1.7 per cent year-on-year (YoY) basis and 3.4 per cent on quarter-on-quarter (QoQ) basis.

On a YoY basis, rural markets rose 13.5 per cent and urban market registered a growth of 5.7 per cent as of March 2022, it said.

Top 10 states constituted 83.4 per cent of the national gross loan portfolio during the period. Bihar, Uttar Pradesh, and Rajasthan recorded highest QoQ growth of 16.6 per cent, 16.4 per cent, and 11.3 per cent, respectively, as of March end.

Portfolio At Risk (PAR) for 30 plus Days Past Due (DPD) improved from 9.2 per cent as of December 2021 to 6 per cent as of March 2022. PAR for 90+ DPD improved from 3.7 per cent to 2.7 per cent during the same period, the report said.

PAR is the proportion of portfolio outstanding, which is delinquent by over 0 day, it said.

Published on July 13, 2022 11:37

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