MSME Credit Growth Recovers; Commercial Credit Inquiries Back To Pre-Covid-19 Levels - CIBIL Report: Motilal Oswal 

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Motilal Oswal Report

As per the latest Micro Small and Medium Enterprises Pulse report by TransUnion CIBIL, total MSME credit grew 5.7% YoY (3.5% QoQ) to Rs 19.1 trillion as of September 2020, aided by Emergency Credit Line Guarantee Scheme disbursements, with better trends witnessed in the micro segment (8-9% YoY).

Inquiry trends in commercial credit touched pre-Covid-19 levels (13% YoY as of December 2020) after witnessing a sharp drop in April 2020.

Public sector banks have taken a lead in MSME loan originations since Apr-20 and gained market share.

However, recent inquiry trends suggest that private banks are inching back to pre-Covid-19 levels, with 22% YoY growth in inquiries versus 9% growth for PSBs in Dec-20.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.