How many MFI companies are there in India?

There are a number of microfinance companies in India, which play some pivotal roles to the development of India. India’s microfinance sector is fragmented with more than 3000 microfinance companies (MGIs), NGOs and NGO-MFIs.

Which is the best microfinance in India?

Top 10 Microfinance Companies in India

• Equitas Small Finance. The lender offers small loans between Rs.
• ESAF Microfinance and Investments (P) Ltd.
• Fusion Microfinance Pvt Ltd.
• Annapurna Microfinance Pvt Ltd.
• Arohan Financial Services Limited.
• BSS Microfinance Limited.
• Asirvad Microfinance Limited.
• Cashpor Micro Credit.

What is sustainable microfinance?

Microfinance Institutions (MFIs) work to increase social sustainability by providing more services to particular clientele, while maintaining the financial and operational sustainability of the institutions.

What are the disadvantages of microfinance?

Here are Challenges faced by Microfinance Institutions

• Over-Indebtedness.
• Higher Interest Rates in Comparison to Mainstream Banks.
• Widespread Dependence on Indian Banking System.
• Inadequate Investment Validation.
• Lack of Enough Awareness of Financial Services in the Economy.
• Regulatory Issues.
• Choice of Appropriate Model.

Which is the largest MFI in India?

#1. Earlier Bandhan Bank Limited was known as Bandhan Financial Services Limited, the largest microfinance company based out of Kolkata. Bandhan Financial Services Limited received the banking license from RBI in April 2014. Presently, Bandhan Bank Limited has 4559 banking outlets helping it reach 2.01 crore customers.

Which is the first MFI in India?

In India, the first initiative to introduce microfinance was the Self-Employed Women’s Association (SEWA) in Gujarat, which established SEWA Bank in 1974. Since then, this bank has been providing financial services to individuals who wish to grow their own businesses in rural areas.

What is outreach in microfinance?

Outreach in microfinance is basically connoted with depth and breadth of outreach of microfinance services. 4. Outreach is typically referred to the efforts put by MFIs in extending loans and financial services to wider audience (breadth5 of outreach) and extending it to the poor (depth of outreach) (Kaur, 2014).

What is innovation and sustainability?

Sustainable innovation involves bringing into common usage of ideas, concepts, practices and products that contribute to the ecological environment, social cohesion and economic viablity.

Who regulates MFI India?

The Reserve Bank of India (RBI)
The Reserve Bank of India (RBI) shall regulate the micro finance sector; it may set an upper limit on the lending rate and margins of Micro Finance Institutions (MFIs).

What are the main challenges in microfinance?

The main challenges on microfinance are higher Interest Rates in comparison to mainstream banks widespread dependence, over-indebtedness, inadequate investment validation, lack of enough awareness of financial services in the Economy and among others.

Which is the No 1 small finance bank in India?

Here are the top 10 small finance banks in India that offer competitive interest rates for fixed deposits: Ujjivan Small Finance Bank. Jana Small Finance Bank. Equitas Small Finance Bank.

What is the current status of microfinance?

The potential for growing micro finance institutions in India is very high. Microfinance market in India is expected to grow rapidly, supported by government of India’s initiatives to achieve greater financial inclusion, and growth in the country’s unorganized but priority sector.