India's NBFC market has rapidly grown to become the third largest in the world, with significant opportunities ahead, especially in underserved smaller towns and rural areas. This growth is driven by digitalization, increased financial literacy, and innovative fintech solutions that make credit more accessible and affordable, fostering a more inclusive financial landscape. While urban centers have seen better access to formal credit, who are engaged in small businesses, still struggle to secure it. Micro-enterprises in India’s six lakh villages face major barriers in obtaining business loans, as local lenders are often absent. Their choices are typically limited to low-ticket microfinance or gold loans, which prove insufficient when they require ₹3-4 lakhs or more. As a result, many...
