Bharat Microfinance Report 2014

This report attempts to collect primary data on client outreach, loan portfolio, and other financials of MFIs in India. It provides analytical information useful for a wide range of stakeholders such as the government, policymakers, regulators, banks and investors, researchers, media, MFIs, and others, helping them to understand the current status and underlying trends in the sector. Hence, the report aims to help key stakeholders in the sector take appropriate decisions and actions that are critical for the development of the industry. It also aims to develop standards and benchmarks for the sector, enhance transparency of financial reporting, and as a result improve the performance of Indian MFIs. Key highlights include:

• MFIs currently operate in 28 States, five Union Territories, and 561 districts in India;
• Outreach of MFIs grew by 20% and loan outstanding grew by 30% over the previous year;
• MFI sector employs more than 80,000 personnel, out of which 19% are women, and 63% are field staff;
• Financial expense is the major expense incurred by MFIs followed by other administrative expenses and personnel expenses;
• Amount of savings and the average per self-help group (SHG) savings held in the banking system are both increasing since 2011-12.