Uncertainty in the Microfinance Sector

The microfinance sector has been often praised and feted as the socially responsible face of Indian industry. Under the banner of ‘microfinance’, institutions as diverse as self help groups, societies, trusts, cooperatives, section 25 companies, non banking finance companies (NBFCs) provide credit. These institutions are in turn governed by an assorted number of legislations which may again be central or state.