Chandigarh, November 08, 2016: Fusion Microfinance Pvt Ltd, a leading NBFC-MFI in India, has reduced its rate of interest by 100 basis points to 24.5 %. The new rate of interest is effective from 1st November 2016. Company had last reduced its rate in early 2016 by 50 basis points.
This reduction is in line with the company’s mission to pass on the advantage of operational efficiencies and reduction in the cost of borrowing to its clients. Speaking on the announcement, Devesh Sachdev, CEO of Fusion Microfinance said, “Our gradual focus on digitization, improvement in processes and scale is leading to operational efficiencies on the one side. Strong capital base, profitability, track record and confidence among lenders on the other hand are leading to lower cost of borrowing”.
Supporting Fusion Microfinance’s move to reduce lending rates, Ratna Vishwanathan, CEO, Microfinance Institutions Network (MFIN) said, “We welcome Fusion Microfinance’s move to reduce its lending rate. As the government’s financial inclusion agenda takes centre stage, microfinance companies have emerged as important partners in achieving this goal. NBFC-MFIs’ extensive reach at the grassroots level, stricter regulations in place and NPAs at under 1% have generated a positive outlook for the industry. It has been our collective effort as an industry to provide loans at affordable rates to MFI beneficiaries while balancing it with healthy growth rate.”
Fusion Microfinance Pvt Ltd is an NBFC – MFI which provides financial services to the underprivileged/underserved women entrepreneurs living in the rural and semi-urban areas. As on September 2016, the company has asset under management of INR 827 and operations in 11 states namely Madhya Pradesh, Uttarakhand, Uttar Pradesh, Haryana, Delhi, Bihar, Jharkhand, Orissa, Punjab, Chhattisgarh and Maharashtra through 236 branches with more than 6,00,000 active loan clients.
In the last six years, Fusion Microfinance has become a trusted name for the microfinance clients. It has found its place amongst India’s 20 leading microfinance players with a strong presence in the underserved states. Recently, the company successfully closed Series D Equity round of Rs. 162 Crore.
Non-banking financial company - micro finance institutions (NBFC-MFIs) have continuously worked towards ensuring access to easy finance to the needy customer in a responsible and inclusive way. Microfinance Institutions Network (MFIN), the premier industry association and Self-Regulatory Organisation (SRO) for the microfinance industry in India works towards ensuring fulfilling of these twin responsibilities of client protection and responsible lending by its member NBFC-MFIs.
About Microfinance Institutions Network
Microfinance Institutions Network (MFIN) is the premier industry association and Self-Regulatory Organisation (SRO) for the microfinance industry in India and its current membership consists of 53 leading NBFC (Non-banking Financial Company) Microfinance Institutions (MFIs) in the country. The aggregate business of MFIN members constitutes over 85 per cent of the Indian microfinance industry (excluding SHGs). MFIN seeks to work closely with regulators and other key stakeholders to achieve larger financial inclusions goals through microfinance.
About Fusion
Fusion Microfinance, headquartered in Delhi, is a microfinance company registered with RBI as an NBFC-MFI. One of the leading MFIs in North Central India, Fusion had a Gross Loan Portfolio of INR 700 Crores as of 30th June 2016 across 185 branches and 11 states. For more information, please visit: www.fusionmicrofinance.com