Ujjivan SFB Expects RBI To Decide On Universal Bank Application By Dec

Ujjivan Small Finance Bank's net profit fell 65.72 per cent to 103.22 crore in Q1FY26.

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Sanjeev Nautiyal, the bank's managing director & chief executive officer (MD & CEO), spoke to Aathira Varier and Subrata Panda in a video interview on the lender's microfinance portfolio and application before the Reserve Bank of India to be converted into a universal bank. Edited excerpts: ing would be unsecured. By March 2030, we expect the return on assets (ROA) will be 1.8-2 per cent, and return on equity (ROE) should be 18 per cent. By FY30, our loan book would be around 1 trillion.

How is your microfinance portfolio shaping up?

The entire industry faced headwinds last year and there has been a general de-growth in the microfinance portfolio. But in Q4FY25, we saw disbursements were much better. In Q1FY26 also, our disbursements on the microfinance side were as good as they were in the previous quarter. Against de-growth in three consecutive quarters, we saw a glimmer of hope with a very small growth emerging in our microfinance portfolio in Q1. It is actually giving us confidence that the worst is behind us and growth could be a normal phenomenon now, and will increase in the coming months.

So, will slippages trend downwards from here on?