New Delhi: Microfinance Institutions Network (MFIN), the Self-Regulatory Organisation (SRO) of the RBI regulated NBFC MFIs, has released its 17th edition of Micrometer report for the microfinance industry. The aggregate Gross Loan Portfolio (GLP) of MFIs witnessed the growth of 84% in the last quarter of FY15-16 as compared to the corresponding quarter of FY14-15. There was an overall increase of 24% over the Q3 FY15-16 and aggregate GLP stood at Rs 53, 233cr as of 31st March 2016. South India leads the way with 35% share in GLP followed by North and West which stand at 25% and East contributing 15%. The industry also witnessed the Y-O-Y increase of 44% in client base where MFIs provided microcredit to 3.25 Cr clients.

The quarterly report provides an overview of the Indian microfinance industry as of 31st March 2016 giving comparisons with corresponding quarter of the previous fiscal year (Q4 FY 14-15) and last quarter of this fiscal year ( Q3 FY 15-16) thus highlighting the overall performance of the industry. The analysis presented in this issue is based on data collected from 56 NBFC–MFIs (MFIs), all of whom have either received or applied for NBFC-MFI registration from the RBI. Growth of 36% in total number of loans disbursed by MFIs in FY 15-16 when compared to FY14-15 shows the rapid pace of expansion of the industry. Average loan amount disbursed for each beneficiary has also witnessed a growth in FY15-16 and stands at Rs 17,805 as compared to Rs 14,731 in FY14-15.

“The Microfinance Industry has seen a substantial growth in the preceding year. This growth is an indicator of the fact that confidence in the Sector has been growing and there is an evident interest in greater investments in NBFC MFIs.  It is interesting to note that growth has been both in the Gross Loan Portfolio as well as in the number of clients. There has been a growth of 44% over the previous financial year. Over the previous year, MFIs have been bringing down their rates of interest and today, one of the largest MFIs, SKS Microfinance is offering products at sub 20%. The industry is maturing and the growth is an indicator of this.” said Ms. Ratna Vishwanathan, Chief Executive Officer, MFIN.

With branch network of 9,669 and employee base of 87,402, MFIs now cover 30 states and Union Territories. Productivity ratios for MFIs continued to move upwards. Average GLP per branch is now at Rs 5.5Cr, up by 51% over FY14-15 and average GLP per loan

Officer stands at Rs 98 lakhs, 33% more from the last year i.e. FY14-15.