Microlending Portfolio Grows 31% In December Quarter: Report
Non-banking finance company-microfinance institutions (NBFCs-MFI) continue to dominate the sector, with a market share of 38.3%, followed by 33.4% for banks, 17.4% for small finance banks and 9.4% with NBFCs, it said.
Microlending portfolio across lenders of all categories grew 30.9% to Rs 4.02 lakh crore during the December quarter.
When compared with the preceding September quarter-end, the overall portfolio showed a 6% growth, the report by a credit information company said.
Non-banking finance company-microfinance institutions (NBFCs-MFI) continue to dominate the sector, with a market share of 38.3%, followed by 33.4% for banks, 17.4% for small finance banks and 9.4% with NBFCs, it said.
From an asset quality perspective, the loans that are not serviced for over 30 days were stable at 2%, while the same for over 90 days was also stable at 0.9%.
The average balance per borrower inched up to Rs 48,900 during the December quarter, as against Rs 48,200 in the quarter-ago period and Rs 46,900 in the year-ago period, the data said.
A bulk 83.4 per cent of the borrowers had exposure to less than 2 lenders in December, with Tamil Nadu having the highest prevalence of multiple borrowings per borrower, it said.
West Bengal and Uttar Pradesh witnessed the highest growth during the quarter when compared with the preceding quarter, but Bihar had the highest share in the gross loan portfolio, it said.
The top ten states constitute 83% of the overall pie in the microlending industry, it said.
