Uttar Pradesh Sees 67% Growth in Small-Business Loans: Experian White Paper Highlights Fintech’s Role in Lending Expansion
Uttar Pradesh has witnessed an impressive 67% growth in business loans under ₹10 lakh, positioning the state as a key player in India’s expanding small-ticket lending market, according to a new white paper by Experian India. The report, titled "Small is BIG: How Fintechs are Revolutionizing Lending," highlights Uttar Pradesh’s lending growth during FY'24 compared to FY'23, showcasing the state's progress in financial inclusion through fintech-driven solutions.
City Air News
Jan 7, 2025 08:35
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Uttar Pradesh has witnessed an impressive 67% growth in business loans under ₹10 lakh, positioning the state as a key player in India’s expanding small-ticket lending market, according to a new white paper by Experian India. The report, titled "Small is BIG: How Fintechs are Revolutionizing Lending," highlights Uttar Pradesh’s lending growth during FY'24 compared to FY'23, showcasing the state's progress in financial inclusion through fintech-driven solutions.
Uttar Pradesh’s personal loan market also grew substantially, with a 20% increase in loans under ₹1 lakh, further establishing the state as a key region in fintech-led lending expansion.
In Uttar Pradesh, fintech lenders have captured 49% of the market share for personal loans under ₹1 lakh, and 67% of the population has availed business loans under ₹10 lakh through fintech platforms. This growth in small-ticket lending is transforming the financial landscape, providing critical financial access to New-to-Credit (NTC) individuals and small businesses in the state.
The white paper reveals that fintech companies have facilitated over ₹2,48,006 Crores of Personal Loan and ₹28,607 Crores Business Loans as of March 2024 across the country. These loans, often under ₹50,000, have primarily reached New-to-Credit (NTC) individuals, those with thin credit files, and sub-prime borrowers, many of whom were previously excluded from the formal financial system.
Manish Jain, Country Managing Director at Experian India, said, "The fintech revolution in India is just beginning, and there’s enormous potential for growth. Fintech companies have already made a big impact by providing credit to those who need it most, but there’s still more to be done. The insights in this white paper highlight both the opportunities and challenges ahead."
