MFO market trends: Q2 results
In the second quarter, the microfinance market showed a rebound to its historical growth rates, with its total portfolio having added 7% over the three months — in line with average paces of growth in 2019. As of the end of June, the portfolio of MFO (microfinance organisation) loans totalled 286 billion rubles, according to the information report Microfinance Market Trends in 2021 Q2.
Consumer microloans are largely expanding on the back of the digitalisation of issuance procedures and the activity of major online companies. 28% of all loans in the MFO portfolio were issued remotely. The total number of companies offering online lending channels went up 40% over the year.
Also, borrowings remain in demand with SMEs: the segment grew 4% in Q2. Despite higher growth rates of the consumer sector, the share of borrowings of small and medium-sized businesses in the market portfolio is above 20%.