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BIZ-MFI-BENGAL


PTI kolkata India
Updated: 04-12-2018 18:53 IST

Bank credit to Micro Finance

Institutions (MFI) is likely to decline by 50 per cent in the

third quarter of the current fiscal, an official said on

Tuesday.

Bank finance typically accounts for 50-70 per cent of

MFI credit.

"Since September, bank finance has dried up. We

estimate that on an average, there is a decline of 50 per cent

to the MFI sector in West Bengal," Association of Microfinance

Institutions-West Bengal Chairman A K Maity said.

He was speaking at a programme to announce the 4th

Eastern India Microfinance Summit 2018 on December 14.

However, association secretary and Uttarayan MFI MD,

Kartick Biswas said impact of liquidity crisis is not across

the board, and banks are extending credit based on individual

balance sheet.

The outstanding loan book of 36 MFIs under the

association is Rs 27,000 crore.

Biswas said most of MFI growth takes place in the

fourth quarter and he expects the liquidity situation to ease

in the January-March quarter.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

COUNTRY : India

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