Asset quality of micro, small and medium enterprises (MSMEs) continues to be stable as delinquency ratios have declined across lenders in the three months to December 2022.
Credit growth has been supported, to some extent, by the Emergency Credit Line Guarantee Scheme (ECLGS) scheme. Disbursements have grown at a healthy clip of 24%, led by 54% growth in the micro segment.
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However, the average ticket size of new disbursements hasn’t changed much, especially for state-owned banks.