Essays on Loan Disbursed to Microfinance Institutions by Financial Institutions: Insights from India.

محورهای موضوعی : Economics

Ashraf Rehman ¹ (M.A. Economics, Department of Economics, Sikkim University)

تاریخ دریافت : 1402/04/11 تاریخ پذیرش : 1402/05/23 تاریخ انتشار : 1402/04/10

کلید واژه: Covid-19, commercial banks, NABARD, Microfinance Institution, Loan Disbursement,

چکیده مقاله :

The paper attempts to examine the trends of loan disbursed to Microfinance Institutions (MFIs) by various financial institutions over the past 15 years. To fulfil the objective, the study employs secondary data from NABARD and draws a comparative framework of the growth gate and percentage share of loan dispersed to Microfinance Institutions by different commercial and public banks and financial institutions. The findings of the study reveal that over the past 15 years, commercial banks dominated the disbursement shares with 50 percent loan disbursed to MFIs. Also, the growth rate of the loan disbursed by commercial banks was the highest with 26.58 percent. However, the analysis in the study revealed that COVID-19 registered a decline in the loan disbursements followed by a hike in post pandemic period, which is likely due to the demand for the financial services by various businesses or households, which suffered an economic blow during the pandemic.