FINANCIAL STRESS OF POOR WORSENING, LOAN DELINQUENCIES JUMPED 163 PER CENT
GOVERNMENT MUST NOT NEGLECT THE ISSUE, MULTIPRONGED STRATEGY REQUIRED
2025-05-27 11:54
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The leaders and top officials of the ruling establishment led by Prime Minister Narendra Modi have just boasted of India replacing Japan as fourth largest economy of the world, falsely giving an impression that economy is performing well. The data speak otherwise. There has been rise in indebtedness among the poor, and the poor borrowers are increasingly unable to return their loans. Microfinance loan delinquencies have jumped 163 per cent in 2024-25, financial institutions are applying break on providing them loan, after warning issued by the Reserve Bank of India. It is resulting in the poor people falling in the hands of private money lenders extracting exorbitant interest rates making their lives more miserable. It is a serious issue that needs urgent attention of the Government.