The top five territories in terms share in overall loan sanctions in FY19, reported a 30-54 per cent year-on-year decline in sanction amount. Maharashtra, Tamil Nadu, Karnataka, Delhi and Gujarat had contributed about 55 per cent to the total loans sanctioned by NBFCs
of Rs 10.59 trillion in FY19.
The NBFC sector, including housing finance
companies, has been reeling under liquidity issues amid asset-liability mismatch for more than a year following the IL&FS crisis.
There has been series of measures announced by the finance minister and the Reserve Bank of India to support the struggling sector. However, experts are awaiting full implementation of those measures.
"It's high time regulators, bankers, financiers and investors take note of this (continuous fall in sanctions by NBFCs) and see that whatever schemes and funding packages announced for NBFCs are executed to the last mile and expeditiously, without which the recovery in the sector is very difficult," says Mahesh Thakkar, Director General of FIDC.