According to a report released on Wednesday, digital lenders in India disbursed 2.64 crore loans worth Rs 37,676 crore in the first quarter of this fiscal year, representing a 15% increase in volume and a 27% increase in value (year-over-year).
According to data from the Fintech Association for Consumer Empowerment (FACE), the average ticket size for loans given in Q1 FY25 was Rs 12,997, a 16 per cent rise from Q1 FY24.
The information confirms the high demand from consumers for digital credit and its essential function in promoting financial inclusion in the nation.
“Member companies earn the trust of customers and stakeholders by responsibly meeting customers’ credit needs within the regulatory guardrails of customer protection and prudent risk management,” stated FACE CEO Sugandh Saxena.
Data also indicates how well the industry is aligned with the goals of the policy and how flexible it is to general macro conditions.
Ninety-three percent of the volume was donated by eleven corporations whose quarterly payouts exceeded five lakhs during the April-June period.
In the first quarter of this year, about 55% of businesses reported increases in volume and 80% in value over the previous year. In Q1, around half of the enterprises reported a QoQ decline in the volume and value of disbursements.
The indigenous or internal NBFCs accounted for about 54% of the loans that were disbursed.
As of June, 27 out of the 33 companies included in this study had assets under management (AUM) of Rs 47,362 crore, or 80% of the total amount disbursed.
According to data from FACE, a self-regulatory group in the fintech sector authorised by the Reserve Bank of India, of the 27 companies, 10 have AUM beyond Rs 1,000 crore, five are in the Rs 500–1,000 crore range, five are between Rs 100–500 crore, and seven have AUM below Rs 100 crore.
Read More
Stock in Ola Electric plummets to a record low as market analysts caution investors
India’s economy will rank among the fastest-growing until 2030, according to Goldman Sachs