In the third quarter, fintech loan disbursements increased by 12% year-on-year (YoY) to 2.5 crore, according to a report by the Fintech Association for Consumer Empowerment (FACE) on Wednesday. The disbursement value rose by 46% to Rs 33,922 crore for the quarter.
The report examines the disbursement data of 37 member companies and reveals an average loan ticket size of Rs 11,945. Total assets under management in the fintech industry amounted to Rs 41,220 crore. Among companies that operate non-banking financial companies (NBFCs), 76% of assets under management are on-balance exposure, while the rest is off-balance. The report shows that 80% of the 28 members surveyed are profitable.
Quarterly trends indicate that FACE members are responding effectively to market conditions. The scale of 2.5 crore loans, approaching Rs 34,000 crore, highlights strong consumer confidence and preference for digital loans, according to Sugandh Saxena, CEO of FACE. The industry is poised to reach the notable milestone of 10 crore loans in FY24, which is a significant achievement.