Data Drive: New rules helped MFIs
The microfinance industry grew 10% year-on-year in FY22, with the overall gross loan portfolio touching Rs 2.8 trillion.
The growth was driven by non-banking financial company-microfinance institutions (NBFC-MFIs) after the Reserve Bank of India (RBI) removed the caps on the pricing of small loans given by them.
Going forward, the new regulatory framework released by RBI in March this year will lead to an increase in ticket-size and boost growth of lenders through new customer acquisitions.