The portfolio size of NBFC-MFIs grew by nearly 7% quarter-on-quarter to Rs 101678 crore at the end of September, which is 37.53% of the total microfinance market.
In contrast, banks engaged in microfinance saw their total microfinance portfolio decline by 0.45% quarter-on-quarter to Rs 97998 crore, which accounts for 36.18% of the market.
Small finance banks, other non-bank lenders and non-profit lenders have a market share of 16.63%, 8.55% and 1.11%, respectively. Microfinance loan outstanding grew 1.8% quarter-on-quarter to Rs 2.71 lakh crore from Rs 2.66 lakh crore at the end of September, said Sa-Dhan, the oldest national-level microfinance association. This represents a 20% annual growth.
However, it was earlier reported to have a loan outstanding of Rs 2.75 lakh crore at the end of June.
“There was some overlap in credit bureau data till June, which was cleared later,” said a Sa-Dhan official.
The official said that Sa-Dhan does not include loans that are outstanding for more than 180 days in the outstanding portfolio.
Incidentally, the Microfinance Institutions Network, the youth wing of both, had reported outstanding loans of Rs 2.93 lakh crore at the end of June. MFIN It is yet to release the September-end data.
“If the second quarter figures are any indication, the microfinance sector is on a definite growth trajectory. Jiji Mammen, Executive Director, Sa-Dhan said, after a hiatus due to the pandemic and then changes to the new regulatory framework, the sector has gathered momentum and is expected to achieve higher growth in the coming quarters.
The latest set of data from the industry body showed that portfolios at risk (PAR) of more than 30 days fell to 4.94% at the end of September from 5% three months ago, while PAR for more than 180 days fell to 11.02. Gone. % to 10.25%.
total area NPA However, it remained the same at around 13% as compared to the position in the year-ago period.
Recovery has improved in almost all regions as compared to the previous quarter, with collections reaching above 96% in states such as Uttar Pradesh, Karnataka, Bihar, Tamil Nadu and Gujarat. The collection capacity in Assam, however, remained poor at around 60-70%.
Assam, other northeastern states, West Bengal, Madhya Pradesh and Chhattisgarh have PAR 30+ higher than the national average of 4.94%, the report said.