)
It, however, noted that the performance of other retail asset classes such as home loans, car loans, and microfinance loans remains stable.
The median monthly collection ratio of CRISIL-rated securitised non-mortgage retail pools declined to 94.4 per cent for the quarter ended December 31, 2012 from 96.2 per cent in the corresponding period of the previous year. The performance of heavy commercial vehicle loans was the weakest due to slow economic growth, over capacity and rising input costs.
CRISIL expects the sub-par collection levels to continue over the next few quarters as earnings and debt-servicing capability of transport operators are expected to remain weak.
“A portfolio analysis of the leading non-banking financial companies that lend to the commercial vehicle segment reveals that delinquency in near-term buckets is rising. The 90-plus days-past-due levels, an indicator of loans not repaid for more than 90 days, has increased by about 100 basis points over the three quarters ended December, 2012,” said Pawan Agrawal, senior director, CRISIL. The rating agency expects delinquencies to deepen further and move beyond 180 days, leading to a potential rise in non-performing asset levels.
CRISIL has ratings outstanding on 80 securitised commercial vehicle pools, aggregating Rs 17,700 crore in rated amount. These pools primarily contain vehicle assets, including loans provided for purchase of heavy and light commercial vehicles.
These loans have been originated and securitised by eight non-banking financial companies.
