L&T Finance Anticipates Festive Boost in Automobile Demand

L&T Finance expects an increase in automobile demand during the festive season, driven by favorable monsoon conditions. Managing Director and CEO Sudipta Roy remains optimistic despite recent industry slowdowns, expecting improvements in both two-wheelers and four-wheelers. Additionally, the microfinance segment is set for a recovery in the second half of the fiscal year.

L&T Finance is forecasting a notable rise in automobile demand during the festive season, attributing this anticipated uptick to favorable monsoon conditions. The company's Managing Director and Chief Executive Officer Sudipta Roy expressed optimism despite recent slowdowns in the auto industry.

Roy, speaking at the Global Fintech Festival, highlighted that the demand for two-wheelers and four-wheelers is poised for robust growth, particularly post-Diwali. 'Our loan disbursements have been consistently strong, ranging between 15-20 percent depending on the region,' said Roy.

Roy also noted that the microfinance sector is undergoing a transitional phase due to disruptions during elections and extreme weather conditions. However, with improved monsoon conditions, he expects a positive shift in the microfinance outlook in the second half of the fiscal year 2025.