Banks’ pricing for microfinance loans may soon be pegged to MCLR

0
27

[ad_1]

The 85% qualifying asset rule for MFIs could be modified to facilitate diversification.

Topics
MCLR | Microfinance | IFIs


Raghu Mohan |
New Delhi

Banks’ pricing for microfinance loans may soon be linked to their marginal cost of the fund-based lending rate (MCLR) and limits imposed on each client to freeze debt levels. Microfinance organizations (MFIs) can also be given leeway with a premium of more than 10 percent of their borrowing cost when pricing loans.

This takes into account the fact that they have not been able to cover the additional borrowing costs associated with the pandemic for two consecutive fiscal years. Limited stock within the existing 10 percent in excess of the cost of funds …

MONTHLY STAR

Digital business standard

Business Standard Monthly Digital Subscription

Full access to premium product

Convenient – pay as you use

Pay only with Amex / Master / VISA credit cards and VISA debit cards

Automatic renewal (subject to approval from your card issuer)

Cancel anytime in the future

Personal information required

What are you getting?

ABOUT DIGITAL BUSINESS STANDARD

  • Unlimited access to all content on any device via browser or app.
  • Exclusive content, features, opinions and comments – handpicked by our editors especially for you.
  • Pick your 5 favorite companies. Receive daily email with all news updates.
  • Track the industry of your choice with the daily industry newsletter.
  • Stay on top of your investments. Keep track of stock prices in your portfolio.
  • 18 years of archived data.

NOTE:

  • This is a monthly auto-renewal product.
  • Cancellation policy: You can cancel your subscription at any time without giving any reason, but 48 hours before your card is charged for the renewal. No refunds will be issued.
  • To cancel, contact your registered email ID and send an email with a cancellation request to Assist@bsmail.in… Include your contact number for quick action. Requests sent by mail to any other identifier will not be confirmed or processed.

SMART YEAR

Digital business standard
Subscribe now and get 12 months free

Business Standard Premium Digital – 12 months + 12 months free

Subscribe for 12 months and get 12 months for free.

One seamless subscription to Business Standard Digital

Convenient – payment once a year

Pay with any instrument of your choice – all credit and debit cards, internet banking, payment wallets and UPIs.

Exclusive invitation to select Business Standard events

What you get

ABOUT DIGITAL BUSINESS STANDARD

  • Unlimited access to all content on any device via browser or app.
  • Exclusive content, features, opinions and comments – handpicked by our editors especially for you.
  • Pick your 5 favorite companies. Receive daily email with all news updates.
  • Track the industry of your choice with the daily industry newsletter.
  • Stay on top of your investments. Keep track of stock prices in your portfolio.

NOTE:

  • A monthly duration product is an auto-renewal product. After subscribing, with the permission of your card issuer, we will automatically charge your card / payment instrument monthly and renew your subscription.
  • In a product with an annual duration, we offer both an auto-renewal product and a non-auto-renewal product.
  • We do not give refunds.
  • No questions asked Cancellation policy.
  • You can cancel future renewals at any time, including immediately after subscription, but 48 hours before the next renewal date.
  • As stated above, you can unsubscribe yourself by visiting the “Manage My Account” section after logging in OR Send an email request to assist@bsmail.in using your registered email address and providing your mobile phone number.


Dear reader,

Business Standard has always made every effort to provide up-to-date information and commentary on events that interest you and have broader political and economic implications for the country and the world. Your support and constant feedback on how to improve our offerings have only strengthened our determination and commitment to these ideals. Even during these challenging Covid-19 times, we continue to strive to keep you updated and updated with credible news, authoritative opinions and insightful commentary on topical issues.
However, we have a request.

As we tackle the economic fallout from the pandemic, we need your support even more so that we can continue to offer you better content. Our subscription model has generated an encouraging response from many of you who have subscribed to our online content. Additional subscriptions to our online content can only help us achieve our goals by offering you even better and more relevant content. We believe in free, fair and trustworthy journalism. Your support in the form of additional subscriptions can help us practice the journalism we are committed to.

Support quality journalism and subscribe to Business Standard

Digital editor

First published: Monday 14 June 2021 06:10 IST



[ad_2]

Source link