Grama Vidiyal Microfinance

Written By ADITYA

Grama Vidiyal Micro Finance Ltd (Grama Vidiyal) is a Tiruchirappalli-based NBFC which started its microfinance operations in early 2008. The company acquired the entire loan portfolio of Grama Vidiyal Trust, which was engaged in microfinance activities since 1996.

Grama Vidiyal Microfinance

GRAMA VIDIYAL MICROFINANCE

Grama Vidiyal extends loans predominantly to women using the joint liability group model. The company’s operations are primarily concentrated in Tamil Nadu. The company has ventured into Maharashtra and Madhya Pradesh to improve upon its geographic diversity.

Performance on key parameters

  • Loan portfolio remained largely stable over the 2 years ended March 31, 2013
  • Has demonstrated strong portfolio performance, with 30+ dpd remaining at less than 0.5 percent over the past 30 months
  • Has relationships with nearly 20 lenders as on March 31, 2013. However, access to incremental funding for growth reduced significantly after the Andhra Pradesh crisis
  • Capitalization is adequate for the current scale of operations; however, gearing is higher than the industry average
  • Profitability is modest, reflected in return on managed assets of 0.4 percent during 2012-13. Ability to improve profitability over the medium term while reducing its margin to comply with revised regulations will be critical

grama-vidyal-microfinance

Subscribe to Moneymint Weekly

Every Sunday we email people like you with top tips, insights and opportunities to manage your finances and build your online business. No hype, no scams, no fake gurus. Sign up below to get the next one.

Please enter a valid email address
That address is already in use
The security code entered was incorrect
Thanks for signing up

Experienced Entrepreneur with a demonstrated history of working in the internet industry.

Disclaimer: The content on this site is for informational and educational purposes only and should not be construed as professional financial advice. Should you need such advice, consult a licensed financial or tax advisor. References to products, offers, and rates from third party sites often change. While we do our best to keep these updated, numbers stated on our site may differ from actual numbers. See our Privacy Policy & Disclaimer for more details.