bu i ld i ng an i nc lu s i ve f i nanc i a l s e ctor i n i nd i a
111
the credit risk. With the credit bureau information now
available it is easier to keep track of loan repayment.
In Table 4.25 is presented the delinquency percentage
of different size classes of MFI across major states. The
general inference from the data is that delinquency is
an issue across states. The smaller MFIs appear as more
seriously affected by delinquency.
However, the delinquency rates by the number of
accounts that are more than 30 days outstanding has
been on a decline. They declined from 1 per cent in April
to 0.8 per cent in October 2013 (i.e., by 20 per cent).
Keeping Andhra Pradesh aside, the delinquency across all
size classes is the highest in Delhi, followed by Manipur.
Tamil Nadu, Rajasthan and Kerala too have reported
relatively higher delinquency rates. The specific reasons
for delinquency in different states warrants detailed
enquiry. The smaller states have reported low incidence
of delinquency.
4.14 MFIs AND FINANCIAL INCLUSION:
THE EMERGING DISCOURSE
MFIs and Urban Financial Exclusion
The market potential for microfinance in urban pov-
erty pockets like slums and low income neighbourhoods
caught the attention of MFIs since the mid 2000s. Urban
focused MFIs like Ujjivan, Janalakshmi, Satin Credit-
T
ABLE
4.25
Delinquency in MFIs
State
% of 30 + delinquency (31–179 DPD)
All
GLP > 5 billion
GLP 1–5 billion
GLP < 1 billion
Volume
Value
Volume
Value
Volume
Value
Volume
Value
Andhra Pradesh
74.38
127.79
0.55
0.50
8.62
81.50
65.21
45.79
Delhi
9.86
4.54
0.88
0.43
5.65
3.24
0.37
0.22
Manipur
8.74
9.29
0.00
0.00
8.74
9.29
Tamil Nadu
5.68
1.61
0.15
0.06
0.54
0.36
4.99
1.19
Rajasthan
5.36
1.94
0.86
0.83
0.20
0.13
4.30
0.98
Kerala
5.20
5.64
0.67
0.19
0.01
0.01
4.52
5.44
Jharkhand
4.93
5.38
0.43
0.25
0.35
0.25
4.15
4.88
Madhya Pradesh
4.44
2.32
0.13
0.07
1.30
0.53
3.01
1.72
Odisha
4.07
1.95
0.27
0.18
2.23
0.91
1.57
0.86
West Bengal
3.72
3.49
0.49
0.29
1.14
0.78
2.09
2.42
Karnataka
2.18
1.43
0.10
0.10
0.60
0.41
1.48
0.92
Haryana
1.98
1.03
0.35
0.22
0.00
0.00
1.63
0.81
Maharashtra
1.97
1.03
0.22
0.10
1.53
0.85
0.13
0.06
Gujarat
1.51
0.51
0.23
0.13
0.61
0.33
0.66
0.06
Bihar
1.13
1.16
0.18
0.10
0.29
0.10
0.29
0.31
Uttar Pradesh
0.84
0.70
0.17
0.08
0.02
0.01
0.65
0.60
Tripura
0.79
0.33
0.11
0.04
0.66
0.28
0.03
0.01
Chandigarh
0.76
0.51
0.28
0.26
Dadra and Nagar Haveli
0.72
0.29
0.72
0.29
Uttarakhand
0.72
0.45
0.15
0.08
0.23
0.33
0.33
0.04
Chhattisgarh
0.68
0.45
0.28
0.06
0.12
0.13
0.01
0.00
Sikkim
0.56
0.21
0.56
0.21
0.00
0.00
Punjab
0.46
0.37
0.46
0.37
0.00
0.00
Pondicherry
0.30
0.04
0.00
0.00
0.30
0.04
Goa
0.29
0.05
0.00
0.00
Meghalaya
0.21
0.26
0.12
0.09
0.09
0.17
Assam
0.00
0.00
0.17
0.07
0.20
0.18
0.76
0.91
Source
: Equifax records.
