NEW DELHI, Apr 20: Microfinance firm Satin Creditcare Network is aiming 15 per cent loan growth during the current financial year, on account of expected good monsoon and easing interest rates.

  “We have closed FY ’25 with the Assets under Management at Rs 11,300 crore registering a growth of 7 per cent but the coming year should be better in terms of business,” Satin Creditcare Network Chairman cum Managing Director HP Singh told PTI.

The stress in the microfinance sector is settling down and it should take one or two quarters for things to get normal depending on the individual entity, he said.

Going forward, he said, “we expect loan growth of 10-15 per cent as there is normal monsoon forecast and easing interest rate bringing down cost for us and our customers.”

Asked about fund needs to meet business expansion, he said, there is a good pipeline to take care of growth requirements for the current financial year and the company can raise further capital in case of need.

Last month, Satin Creditcare Network announced its first syndicated social term loan of USD 100 million (about Rs 850 crore) through External Commercial Borrowing (ECB) under the automatic route of the Reserve Bank.

The first tranche was disbursed on March 12, 2025.

Asked about the company’s aspiration to become a small finance bank (SFB), Singh said, “whatever we want to achieve, we are doing that with our MFI and other businesses.”

Satin Creditcare Network has a housing finance company and also another subsidiary focussing on MSME lending business, he said, adding, the only difference that comes with SFB is deposit taking ability.

“Today, we do not have any issue in sourcing liability. When the opportune time comes, if we really want to transit ourselves into a bank, we will probably assess, but nothing is on the table as of now,” he said.

In April 2017, the company incorporated a wholly-owned housing finance subsidiary Satin Housing Finance Limited (SHFL) for providing loans in the affordable and micro-housing segment.

In January 2019, it received a separate NBFC license to commence MSME business through Satin Finserv Limited (SFL).

Besides, it has also incorporated a subsidiary for software services last year called Satin Technologies Ltd (STL) dedicated to developing innovative, world-class technology solutions by leveraging technologies like Artificial Intelligence (AI), Machine Learning (ML), and Cloud Computing. (PTI)