BusinessPhoto: Amar BusinessMicrofinance Sector Shows Record Recovery in Loan Repayments, NPAs Drop Below 1%
India's microfinance sector is undergoing significant positive changes with a slight decline in total loan portfolio but notable improvement in loan repayments and asset quality. A joint report by TransUnion CIBIL and Sa-Dhan highlights strict credit standards and responsible lending as key factors. By June 2026, the total microfinance loan portfolio stood at ₹3.3 lakh crore. Industry leaders emphasize prudent credit evaluation and borrower capacity for sustainable growth.
Amar Business·


