Rising stress in MSME, vehicle loans worries banks, NBFCs
Published on: Aug. 25, 2025, 11:32 p.m. | Source: The Economic Times
Stress is rising in micro, small, and medium enterprises and vehicle finance. MSME borrowers with multiple loans are increasing. Portfolio at risk is also up for unsecured business loans. Micro MSME loan defaults are a concern for NBFCs. Smaller SME loans face growing stress. Banks report more high-risk borrowers. Unsecured personal loan defaults are significantly higher than before.
