Micro Finance Institutions loan disbursements increased by 52% compared to Q3 FY 12-13. The total outstanding borrowing for MFIs stood at Rs 184.25 billion, a growth of 44% over Q3 FY12-13, according to Microfinance Institutions Network (MFIN) report.

The aggregate Gross Loan Portfolio (GLP) of Micro Finance Institutions (MFIs) stood at Rs 239.98 billion registering a growth of 29%, with over 85% MFIs showing an increase in GLP over Q3 FY 12-13.

Medium sized MFIs i.e. MFIs with GLP between Rs 1-5 billion registered highest growth in GLP of 62% over Q3 FY 12-13.

Andhra Pradesh, West Bengal, Tamil Nadu, Karnataka and Maharashtra are the top 5 states accounting for 62% of the portfolio. However the performing portfolio in AP is negligible. For the first time, number of clients in Tamil Nadu and West Bengal has superseded the number of clients in Andhra Pradesh.

As of Dec. 31, 2013, MFIs facilitated life insurance to over 25 million clients with total value of sum insured at Rs 384 billion. The MFIs have opened more than 1 million pension accounts, 27% of them in government sponsored Swavalamban scheme.

Alok Prasad, chief executive officer, MFIN, said, "The growth trajectory that the microfinance industry is exhibiting after having gone through a severe crisis is exceptional.This, more than anything else, demonstrates the customer connectedness and robustness of the business model of NBFC-MFIs. These institutions play a very important role in meeting the financial needs of the BoP segments and we endorse the RBI-CCFS Committee's view on removal of all policy biases against them."

During Q3 total funding raised by MFIs was at Rs 34.48 billion with Rs 28.2 billion received from banks and rest from other financial institutions. These MFIs opened more than 1 million pension accounts, 27% of them in government sponsored Swavalamban scheme.