MUMBAI: Digital loans grew 43% during the September quarter, a report by the Fintech Association for Consumer Empowerment (FACE), an industry body of digital lenders, showed.
During quarter 2 of financial year 2024, FACE member companies disbursed 2.4 crore loans, marking a 39% increase from Q223 and a 10% growth from the previous quarter. The disbursement value surged by 43% to Rs 31,692 crore in Q2 FY24, compared to Rs 27,673 crore in the same period last year, with over three-fourths of companies reporting positive annual growth.
The total assets under management (AUM) for fintech lending companies reached Rs 36,169 crore, with 69% on-balance sheet, rising to 79% for companies with their own NBFC. The pace of digital loan growth could slow, with RBI warning about the high growth rates and raising capital requirements for unsecured loans. Some fintech players like Paytm have decided to go slow on small-ticket personal loans and focus on larger loans.
During quarter 2 of financial year 2024, FACE member companies disbursed 2.4 crore loans, marking a 39% increase from Q223 and a 10% growth from the previous quarter. The disbursement value surged by 43% to Rs 31,692 crore in Q2 FY24, compared to Rs 27,673 crore in the same period last year, with over three-fourths of companies reporting positive annual growth.
The total assets under management (AUM) for fintech lending companies reached Rs 36,169 crore, with 69% on-balance sheet, rising to 79% for companies with their own NBFC. The pace of digital loan growth could slow, with RBI warning about the high growth rates and raising capital requirements for unsecured loans. Some fintech players like Paytm have decided to go slow on small-ticket personal loans and focus on larger loans.
