{
 "name": "Microfinance (MFI) in India — Gross Loan Portfolio & Lender-Type Split",
 "unit": "₹ lakh crore (GLP); % share (lender split)",
 "dashboard": "https://bankpulse.ai/dashboards/microfinance/",
 "source": "RBI (Regulation of Microfinance Loans) Directions, 2022 / RBI Report on Trend & Progress of Banking; MFIN / Sa-Dhan",
 "reviewed_by": "Vikram Jain",
 "license": "https://creativecommons.org/licenses/by/4.0/",
 "updated": "2026-06-22T00:11:31+05:30",
 "dateModified": "2026-06-22T00:11:31+05:30",
 "method": "Microfinance sector gross loan portfolio by fiscal year-end and the approximate share of that portfolio held by each lender type, on an RBI / MFIN framing. Intermediate-year figures are indicative.",
 "note": "Rounded and approximate; NOT in the Verified-numbers ledger pending reviewer sign-off. GLP rose from ~Rs 1.9 lakh cr (FY19) to a ~Rs 4.3 lakh cr peak (FY24) and contracted to ~Rs 3.8 lakh cr (FY25). The RBI (Regulation of Microfinance Loans) Directions, 2022 (effective 1 April 2022) set one activity-based framework, an income ceiling of Rs 3,00,000, removed the NBFC-MFI rate cap and capped repayment at 50% of household income.",
 "glp_series": [
  {
   "fy": "FY19",
   "glp_lakh_crore_approx": 1.9,
   "approximate": true,
   "note": "Pre-pandemic sector book"
  },
  {
   "fy": "FY21",
   "glp_lakh_crore_approx": 2.6,
   "approximate": true,
   "note": "Pandemic year — growth slows but the book holds"
  },
  {
   "fy": "FY22",
   "glp_lakh_crore_approx": 2.85,
   "approximate": true,
   "note": "RBI harmonised MFI framework takes effect 1 Apr 2022"
  },
  {
   "fy": "FY23",
   "glp_lakh_crore_approx": 3.5,
   "approximate": true,
   "note": "Post-framework expansion on a level playing field across lenders"
  },
  {
   "fy": "FY24",
   "glp_lakh_crore_approx": 4.3,
   "approximate": true,
   "note": "Peak — rapid growth raises over-leverage concerns"
  },
  {
   "fy": "FY25",
   "glp_lakh_crore_approx": 3.8,
   "approximate": true,
   "note": "Contraction as lenders tighten amid borrower stress and new guardrails"
  }
 ],
 "lender_split": [
  {
   "lender": "NBFC-MFIs",
   "share_pct_approx": 40,
   "note": "The specialist microfinance lenders — largest single share of the book"
  },
  {
   "lender": "Banks",
   "share_pct_approx": 33,
   "note": "Scheduled commercial banks, direct and through the business-correspondent model"
  },
  {
   "lender": "Small Finance Banks (SFBs)",
   "share_pct_approx": 17,
   "note": "Several SFBs grew out of NBFC-MFIs and still lend heavily to the segment"
  },
  {
   "lender": "Other NBFCs",
   "share_pct_approx": 9,
   "note": "Non-MFI NBFCs that also extend microfinance loans"
  },
  {
   "lender": "Non-profit MFIs",
   "share_pct_approx": 1,
   "note": "Societies and trusts — the original not-for-profit microfinance model"
  }
 ]
}