VFS to disburse Rs 1,450 crore this fiscal

Village Financial Services (VFS), a city-based microfinance company (NBFC-MFI), is likely to disburse around Rs 1,450 crore during the current financial year, an official said. The outstanding loan portfolio is expected to touch Rs 1,250 crore by the end of the current fiscal, he said.

"Last financial year, the outstanding loan portfolio of the MFI was Rs 1,057 crore and total disbursements was Rs 1,395 crore", the official told PTI. This financial year, VFS is expecting disbursements of around Rs 1,450 crore, the official said.

He said "the outstanding loan portfolio to touch Rs 1,250 crore by the end of March 31, 2020. Last fiscal, the outstanding loan portfolio was Rs 1,057 crore. By the end of the third quarter of this fiscal, the loan portfolio of VFS increased 18.7 per cent in terms of outstanding loan portfolio at Rs 1,011 crore, as compared to Rs 852 crore during the previous similar period.

The MFI has expanded its business operations in Haryana, he said, adding that presently VFS is operating in 12 states. "VFS expects to explore the unbanked people by expanding our footprint", the official said.

The MFI currently operates through 243 branches in 12 states - West Bengal, Tripura, Assam, Bihar, Jharkhand, Odisha, Sikkim, Madhya Pradesh, Uttarakhand, Chhattisgarh, Meghalaya and Haryana -, catering to a customer base of around five lakh. VFS has also entered into a business correspondent venture with IDFC First Bank.

As part of this agreement, IDFC First Bank approved a credit line of Rs 200 crore to be disbursed through 50 VFS branches in West Bengal, Odisha, Assam and Bihar..

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