 

 

 

 

 

 

 

 

 

 

‘As of March 31,
2018 2019 am As of December 31, 2020
& % of & % of & & >
million) | total_| million) | total_| million | ft! | mnittiony ee
Others* 100.13 | 0.58% | 131.60 | 0.44% | 572.77 154% | 1,372.68 3.51%
ee 17,177.84 | 100.00% | 29,704.42 | 10.00% | 37,108.42 100.00% | 39,082.29 100.00%

 

 

 

 

 

 

"Note: Others includes overdrajis and staff loans.
Inclusive Finance (JLGs)

Under our inclusive finance (JLG) business, we provide group loans built on the peer-guarantee loan model (joint liability
group), which enables individuals to take loans without having to provide collateral or security on an individual basis,
while promoting credit discipline through mutual support within the group, prudent financial conduct among the group,
and prompt repayment of their loans.

Customers of our inclusive finance (JLG) business are typically located in unbanked and underbanked locations
predominantly across urban and semi-urban areas. The target customer segment for our inclusive finance (JLG) loans are
micro-entrepreneurial women with limited access to formal financing sources. These loans are provided essentially for
use in their income generating activities such as eateries, retail trading shops like vegetable vendors and animal husbandry.

As of December 31, 2020, Gross Loan Portfolio in this segment was % 27,495.76 million, representing 70.35 % of our
total Gross Loan Portfolio.

These products are typically offered at ticket sizes ranging between = 10,000 and % 52,500 to our women customers,
depending on their loan cycle during in the nine months ended December 31, 2020. These loans have a tenure of up to
two years and were offered at interest rates between 20.51% and 25.49% per annum.

In Fiscal 2020 and the nine months ended December 31, 2020, the average ticket size of these loans was % 30,363.84 and
% 34,356.68, respectively, and they were disbursed for an average tenure of 21.74 months and 20.86 months. The average
yield for our inclusive finance (JLG) segment was 23.37% and 22.28% (annualized) / 16.71% (unannualized) in Fiscal
2020 and the nine months ended December 31, 2020. In Fiscal 2018, 2019 and 2020 and the nine months ended December
31, 2020, disbursements under this segment were = 15,388.47 million, = 23,851.16 million, = 25,606.04 million and =
8,295.83 million, respectively.

As of December 31, 2020, the Gross NPAs for this product segment were % 8.90 million representing 0.03% of our Gross
Advances in this product segment.

The number of new to bank customers for our inclusive finance (JLG) segment as of March 31, 2018, 2019 and 2020,
and as of December 31, 2020 was as follows:

 

 

 

 

 

 

 

 

 

 

As of March 31, December 31, 2020
2018 2019 2020
Total Customers 789,984 1,118,578 1,386,882 1,304,085
New to Bank Customers 280,042 505,720 497,592 92,523
Customer Retention Ratio 67.97% 77.58% 79.50% 87.36%

 

 

Existing group customers may be eligible for individual loans on the basis of their prior repayment track record with us
and in the market and their market exposure. The number of such outstanding individual loans as of March 31, 2018,
2019 and 2020, and as of December 31, 2020 was 7,311, 8,363, 7,300 and 7,351 respectively.

We added significant number of savings accounts during nine months ended December 31, 2020 by leveraging on our
existing inclusive finance customer base. The account opening process is entirely digital for our existing customers. We
added 245,372 savings accounts customers during the nine months ended December 31, 2020 with a total outstanding
balance of % 616.17 million as of December 31, 2020.

In June 2020, the Government of India had introduced through Small industrial Development Bank of India, an interest
subvention scheme to reduce the financial stress caused by COVID-19 pandemic for the Prime Minister Mudra Yojana
borrowers in ‘Shishu’ category (i.e., loans of up to = 50,000). Total Mudra-Shishu (non-NPA loans) outstanding as of
September 30, 2020 was 1.20 million and have been benefited with interest subvention of % 136.38 million during the
period June 1, 2020 to November 30, 2020.

Customer Sourcing and Credit Assessment

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