Microfinance loan book grows 10% sequentially to Rs 2.53 trillion in Q4

Banks continue to dominate the market share of 42 per cent.

Micro-finance loans in India rose by 10 per cent sequentially to Rs 2.53 trillion in January-March 2021 (Q4FY21) from to Rs 2.31 trillion in quarter ended December 2020.
 
However, the stress on repayments profile only moved up in Q4 over Q3, showing an adverse economic downturn on the income of those at the bottom of the pyramid.
 
According to the credit information bureau, CRIF data loans with 90-plus day dues rose from 3.8 per cent in December 2020 to 4.4 per cent in March 2021.
 
The expansion in microfinance book in Q4FY21 came on the back of