MFIN: Micro-Credit Disbursements Drop 35.8% to Rs 22,091 Crore in Q3FY25.
Economy Business
In February 2025, Microfinance Institution Network (MFIN) India, based in Gurgaon (Haryana), an umbrella body for Microfinance Institutions (MFIs), released the 52nd edition of its Mirometer for Q3FY24-25 report.
- The report highlighted that microfinance loan disbursements decreased by 35.8% to Rs 22,091 crore in the 3rd Quarter (Q3: October-December) of Financial Year 2024-25 (FY25) compared to the same period last year.
- The report further revealed a 3.5% Year-on-Year (Y-o-Y) decline in the total loan portfolio, which reached Rs 3.85 trillion in Q3FY25.
- Additionally, the number of new loans disbursed showed a negative growth of 29.02%.
Main Point :- (i) As of December 31, 2024, the Assets Under Management (AUM) of MFIs stood at Rs 1,42,695 crore, reflecting a decrease of 0.1% compared to Q3FY24 and 6.5% on a sequential basis.
(ii) According to the report, the average loan amount disbursed per account during Q3FY25 was Rs 51,691 crore, marking a 15.2% increase from the same quarter of FY24.
(iii) The report also revealed that the Portfolio At Risk (PAR), defined as unpaid loans over 30 days, decreased to 8.8% as of December 31, 2024, compared to 3.5% during the same period last year.
About Microfinance Institution Network (MFIN) India
CEO & Director: Dr. Alok Misra
Headquarters: Gurugram
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