Sa-Dhan Report: Microfinance Delinquencies Jump in FY25
Why in the news
Sa-Dhan, the MFI self-regulatory body, reported worsening repayment in FY 2024-25.
Key facts
| Measure | FY24 | FY25 |
|---|---|---|
| PAR 30+ | 2.1% | 6.2% |
| Over 90 days | 1.6% | 4.8% |
- Bihar: highest outstanding; 7.2% overdue beyond 30 days, 4.6% beyond 90.
- Rural loans ₹2.3 lakh crore: 6.4% overdue; semi-urban 6.1%, urban 6%.
Significance
Rural credit stress persists and may hurt MFI balance sheets; stronger risk management and financial literacy are needed.
Exam angle
- Sa-Dhan: self-regulatory organisation of MFIs.
- Top state by loans: Bihar.