Domestic securitisation activity doubles to Rs 15,200 crore in Q2

The increase in the share of gold loans in securitisation, a trend witnessed in FY20, continued in H1FY21

Domestic securitisation volumes, which had seen a sharp drop in the first quarter of the financial year 2020-21 (Q1FY21) at Rs 7,500 crore, more than doubled in Q2 at Rs 15,200 crore. The improvement in volumes was supported by both reduced investor wariness and an increase in disbursements by financial sector firms leading to higher financing needs, according to rating agency ICRA.

Securitisation volumes in H2FY21 are expected to be more than double the volumes seen in H1FY21. “We estimate securitisation volumes to be about Rs 0.8-0.9 trillion for FY21, though still significantly lower than the Rs 2 trillion seen in