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Small finance banks make it big on micro revival

Small finance banks make it big on micro revival

Small finance banks in India have concluded fiscal year 2026 with robust business growth. These lenders experienced higher-than-average loan portfolio expansion, exceeding 20%. This positive trend was significantly supported by a revival in microfinance lending. Asset quality also saw notable improvement across these banking entities. This indicates a healthy recovery in the bottom of the pyramid borrower segment.

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