Microfinance disbursals and repayments picking up Is gradually becoming a defining theme for India’s microfinance sector after several quarters of stress, asset quality concerns, and funding challenges. While the recovery is uneven and far from broad-based, early indicators suggest that stronger lenders with adequate capital buffers are beginning to stabilise operations. Industry participants point out that improved collection efficiency, calibrated lending, and selective portfolio expansion are helping parts of the sector regain footing — even […]

Delhi Government RBI MoU and the Beginning of Structured Fiscal Governance Delhi Government RBI MoU has emerged as one of the most consequential public finance reforms undertaken by the National Capital Territory in recent years. By formally appointing the Reserve Bank of India as its banker, debt manager, and financial agent, the Delhi Government has aligned itself with a governance framework that most Indian States have followed for decades. This development is not merely administrative […]

RBI on NBFC Underwriting Standards: A Clear Regulatory Message to the Sector RBI on NBFC underwriting standards has once again come to the forefront following a high-level interaction between the Reserve Bank of India and senior leadership of select non-banking financial companies. The message from the regulator was measured, yet firm—credit growth must be supported by strong underwriting discipline, vigilant asset quality monitoring, and ethical conduct at every level of lending. At a time when […]

NBFC Balance Sheets FY25: Loan Growth Drives Expansion Amid Sectoral Divergence NBFC balance sheets FY25 witnessed a sharp expansion, driven primarily by robust growth in loans and advances, according to the Trend and Progress of Banking in India report released by the Reserve Bank of India. While the overall health of the sector improved on several parameters, including asset quality and capital adequacy, the data also highlights persistent stress in the microfinance segment. The RBI’s […]

RBI Scale-Based Regulation for NBFCs: Why the Review Matters Now RBI scale-based regulation for NBFCs has entered a fresh phase of regulatory scrutiny as the Reserve Bank of India initiates a formal review of its existing Scale-Based Regulation (SBR) framework. The move comes at a time when non-banking financial companies are playing an increasingly critical role in credit delivery across the Indian economy, even as concerns around systemic risk, unsecured lending, and interconnectedness remain under […]