Non-performing assets in the microfinance sector soared to ₹50,000 crore at the end of December, reaching a 13% ratio of gross loans. The sector faced elevated stress from over-lending and deteriorating credit discipline, despite regulatory measures to lower capital allocation requirements for risky assets.
Liquidity abundant, but regulatory curbs holding back NBFC growth ambitions: Shweta Daptardar
Going forward the larger, the bigger picture is while the liquidity has been strong in the system, and we are in a downward interest rate