NPAs may rise in the MSME sector in the next 6 months: FICCI-IBA Survey

NPAs may rise in the MSME sector in the next 6 months: FICCI-IBA Survey (2/9/2022)

NPAs may rise in the MSME sector in the next 6 months: FICCI-IBA Survey

25 banks which together represent 76% of the banking industry participated in the fifteenth round of the FICCI-IBA Survey.

Among the respondents, 65% of banks expect the NPAs to increase in the MSME sector in the next 6 months. The sectors such as Hospitality, Retail Trade & Aviation are predicted to be at high risk.

If the findings are to be true, then this could affect the debt-servicing ability of the MSME borrowers and those borrowers in the long term loan segments, could see an increase in their equated monthly instalments (EMIs)

(Source)

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