CEO Ganesh Narayanan discusses strategic shift to secured lending with his team.
CreditAccess Grameen, a prominent NBFC-MFI, is strategically pivoting from microfinance to secured lending, including home loans, signaling a significant shift in its business strategy. Ganesh Narayanan, MD & CEO, revealed the company’s ambition to become a Rs 50,000 crore entity by 2028, with a substantial portion of its portfolio derived from retail finance.
The company is actively pursuing acquisitions to expedite growth in its secured business segment, indicating a proactive approach to diversify its offerings and reduce reliance on microfinance. This move reflects a broader trend among financial institutions to de-risk their portfolios and capitalize on the increasing demand for secured lending products.
By scaling down its microfinance growth and focusing on secured lending, CreditAccess Grameen aims to enhance its stability and profitability. The shift allows the company to tap into a larger market and cater to a wider range of customers, potentially leading to sustainable growth and increased shareholder value. The focus on retail finance and secured assets aligns with the evolving needs of the Indian financial market.
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