Key Points
The loan collections of microfinance companies has improved across most loan buckets in October-December, a recent report by CRIF High Mark showed...
However, portfolio at risk in the 180 days past due segment deteriorated to 10% as on December 31 from 9.3% a year ago...
Specifically, Maharashtra, West Bengal, Madhya Pradesh and Kerala have highest delinquency rate for the portfolio at risk in the 180 days past due segment, the report showed...
Since the tenor of the MFI loans is small, 95% of the AUM of the MFIs represents loans disbursed post 2nd wave, hence large portion of MFI entities books is having a very healthy repayment trend, said Sadaf Sayeed, chief executive officer, Muthoot Microfin...
We have noticed a substantial improvement in asset quality as a result of the decline in the stressed loans and enhanced collection efficiency, which has been backed by the continued economic revival, HP Singh, chairman and managing director, Satin Creditcare Network said.. Further, the elimination of the cap on loan pricing by NBFC-MFIs under the new regulatory framework for microfinance loans beginning in April 2022 has allowed NBFC-MFIs like ours to consider risk-based loan pricing..
