NBFCs' loan sanctions up 5% YoY in Q3FY22: Data

Consumer credit drives action; commercial segment shows modest growth, according to FIDC-CRIF data

Non-banking finance companies reported a modest five per cent growth year on year basis in sanctions driven mostly by consumer segments including personal loans in the third quarter ended December 2021 (Q3FY22), according to FIDC-CRIF data.

Loans for commercial purposes, viz., loans against property, commercial equipment loans and business loans have shown modest or negative growth. It signifies that investment demand is yet to pick up among MSMEs and other commercial sectors. The unsecured business loans saw just seven percent rise in sanctions at Rs 17,619 crore and sanctions in equipment financing expanded by eight per cent to Rs 1,293 crore