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Microfinance faces rising delinquencies

Financial Express Kolkata

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December 31, 2024

THE MICROFINANCE SECTOR is showing signs of stress, with rising delinquencies across all types of lenders and ticket sizes, the Reserve Bank of India (RBI) stated in its latest Financial Stability Report.

- NARAYANAN V

According to the report, the asset quality of the sector deteriorated in the first half of FY25, with the share of loans overdue between 31-180 days doubling to 4.30% at the end of September 2024 from 2.15% at the end of March 2024.

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