New Delhi, 21 Oct (KNN) As per the latest data released by CRIF High Mark microfinance lending declined by 6.9 per cent due to the second wave of COVID-19 pandemic, as it hit MSME sector the hardest.

Although manufacturing units were allowed to function during the second way, the micro businesses remained shut for weeks.

The report stated that, the year-on-year (YoY) growth was less than one per cent from INR 2,34,100 crore last year.

Loans over INR 60,000 declined by only 2.5 per cent. Even in terms of year-on-year performance, the average ticket size managed to improve by only 0.9 per cent with the highest growth of 56.6 per cent witnessed in the less than INR 10,000-loan bracket.

According to CRIF, in terms of delinquencies, portfolio at risk (PAR) or proportion of portfolio delinquent by 31-180 days past due (30+ DPD), calculated as a percentage of total portfolio outstanding, was 15.4 per cent in June 2021, higher compared to 9.7 per cent in March 2021 for all ticket sizes and all lender types.