India Microfinance Market, By Type, By Bank Type, By Non-Banks, By End-Use, By Area, By Region, Competition, Forecast & Opportunities, 2025

India Microfinance Market, By Type, By Bank Type, By Non-Banks, By End-Use, By Area, By Region, Competition, Forecast & Opportunities, 2025

  • August 2020 •
  • 71 pages •
  • Report ID: 5949190 •
  • Format: PDF
India Microfinance Market, By Type (Bank, Non-Banks), By Bank Type (Small Finance Companies, Commercial Banks, Regional Rural Banks, and Cooperative Banks), By Non-Banks (NBFC-MFIs, NBFCs, and Not for Profit MFIs), By End-Use (Agriculture and Allied, Services, Trade & Business, Production/Manufacturing, and Others), By Area (Urban, Rural), By Region, Competition, Forecast & Opportunities, 2025

India microfinance market is anticipated to grow at a CAGR of more than 40% through 2025, predominantly on account of increasing demand for microfinance loans from the MSME sector.The main objective of microfinance organizations is to give a chance to low-salary borrowers to become self-sufficient.

This sector plays an important role in promoting inclusive growth by providing credit to borrowers who fall under BPL (Below Poverty Line) category. This industry is also helping women from rural areas to avail small loans at affordable rates to earn their livelihood.
Based on types, India microfinance market is segmented into banks and non-banks.In India, bank are the preferred sources for Microfinance.

Banks dominated the market in 2020 and the trend is likely to continue in the coming years as well.This is on account of banks offering attractive interest rates compared to non-banking institutions.

By Bank type segmentation, the market is categorized into Small Finance Companies, Commercial Banks, Regional Rural Banks, and Cooperative Banks.Small Finance Companies accounted for the highest market share in FY 2020, followed by Commercial Banks and Reginal Rural Banks.

By region, India microfinance market is segmented into North, South, West, and East. In FY 2020, South region accounted for more than one-third of the market share, followed by West, North and East regions.

Major players operating in India microfinance market include Jana Small Finance Bank Limited, Belstar Investment and Finance Private Limited, Ujjivan Small Finance Bank Limited, Satin Creditcare Network Limited, Annapurna Microfinance Pvt.Ltd, BSS Microfinance Pvt.

Ltd, Fusion Microfinance, Future Financial Services Private Limited, Asirvad Microfinance Pvt.Ltd, Mudra Microfinance, and Others.

Players operating in India microfinance market are offering flexibility in terms of interest rates, service charges & fees as well as loan tenure in order to draw more and more customers.

Years considered for this report:

Historical Years: 2015-2019
Base Year: 2020
Estimated Year: 2021
Forecast Period: 2022–2025

Objective of the Study:

• To analyze and forecast the market size of India Microfinance market.
• To classify and forecast India Microfinance market based on type, source, interest rate, tenure, area of property and regional distribution.
• To identify drivers and challenges for India Microfinance market.
• To examine competitive developments such as expansions, new product launches, mergers & acquisitions, etc., in India Microfinance market.
• To identify and analyze the profile of leading players operating in India microfinance market.

The analyst performed both primary as well as exhaustive secondary research for this study.Initially, the analyst sourced a list of companies across the country.

Subsequently, the analyst conducted primary research surveys with the identified companies.While interviewing, the respondents were also enquired about their competitors.

Through this technique, the analyst could include the companies which could not be identified due to the limitations of secondary research.
The analyst calculated the market size of India microfinance market by using a bottom-up approach, where data for various end-user segments was recorded and forecast for the future years. The analyst sourced these values from the industry experts and company representatives and externally validated through analyzing historical data of these product types and applications for getting an appropriate, overall market size.

Various secondary sources such as company websites, news articles, press releases, company annual reports, investor presentations and financial reports were also studied by the analyst.

Key Target Audience:

• Microfinance companies and other stakeholders
• Government bodies such as regulating authorities and policy makers
• Organizations, forums and alliances related to microfinance market
• Market research and consulting firms
The study is useful in providing answers to several critical questions that are important for the industry stakeholders such as service providers and partners, end users, etc., besides allowing them in strategizing investments and capitalizing on market opportunities.

Report Scope:

In this report, India Microfinance market has been segmented into following categories, in addition to the industry trends which have also been detailed below:
• Market, By Type:
o Bank
o Non-Bank
• Market, By Bank Type:
o Small Finance Companies
o Commercial Banks
o Regional Rural Banks
o Cooperative Banks
• Market, By Non-Bank Type:
o NBFC-MFIs
o NBFCs
o Not for Profit MFIs
• Market, By End-Use
o Agriculture and Allied Services
o Services
o Trade & Business
o Education
o Production/Manufacturing
o Others
• Market, By Area
o Urban
o Rural
• Market, By Region:
o North
o South
o East
o West

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in India Microfinance market.

Available Customizations:

With the given market data, we offers customizations according to a company’s specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).