Gold loans power Small Finance Banks' growth as microfinance asset quality weakens

This report covers key India-focused updates related to loans, EMI, interest rates and banking. Gold loans power Small Finance Banks' growth as microfinance asset quality weakens Small Finance Banks are shifting focus to secured loans like gold loans. This move aims to stabilize their financial health and earnings. The unsecured microfinance sector continues to face high bad loan ratios. This strategic pivot is happening as regulators encourage diversification. Some larger banks are also growing their microfinance business. This change is crucial for long-term stability and growth. (Catch all the Business News, Breaking News and Latest News Updates on The Economic Times.) Subscribe to The Economic Times Prime and read the ET ePaper online.