Microfinance picks up in Q4 FY22 with 5% YoY growth

New Delhi, May 18 (KNN) India’s microfinance sector has projected a 13 per cent portfolio growth among lenders from the previous quarter and around 5 per cent year-on-year (YoY) growth in the fourth quarter of the financial year 2021-22, as per a report by Sa-Dhan. 

The RBI recognised self-regulatory organisation (SRO) for microfinance institutions (MFIs) in its report has said that the field activities in the sector is returning back to normalcy.

During Q4 from the year-ago quarter, the Non-banking financial company (NBFC)-MFIs had registered growth of 19 per cent to Rs 94,096 crore in their portfolio. 

While not-for-profit MFIs (NFPs) showed 30 per cent growth to Rs 2,745 crore. However there has been a 7 per cent to Rs 1.02 lakh crore dip in banks’ portfolio.

Although banks saw a decline in disbursements to Rs 35,773 crore in Q4 FY22 from Rs 46,911 crore in Q4 FY21, disbursements for all other lenders were up, said the report.  (KNN Bureau)