Satin Creditcare receives first tranche of Assam relief scheme, shares fluctuate

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On Monday, Satin Creditcare Network Limited (SCNL), a prominent microfinance institution in India, announced the receipt of its first tranche under category III of the Assam Micro Finance Incentive and Relief Scheme 2021 (AMFIRS), amounting to ₹14.77 crore. The AMFIRS initiative was launched in August 2021 in collaboration with the Government of Assam, with the objective of aiding microfinance borrowers in maintaining strong credit discipline.

Category III of the said scheme targets borrowers whose accounts have been classified as Non-Performing Assets (NPAs). More specifically, it focuses on NPA borrowers with an outstanding principal amount of up to ₹25,000 as of March 31, 2021, who were not covered under Categories I and II of the scheme.

Mr. HP (NYSE:) Singh, Chairman cum Managing Director of SCNL commented on the roll out of third phase, “This agreement has significantly rekindled the potential of microloan borrowers and will undoubtedly continue to reinforce the state’s credit and repayment culture,” he said to Equity Bulls. He also expressed gratitude towards the Government of Assam for their support and commitment towards ensuring creditworthiness among lakhs of people.

However, despite this positive development, SCNL shares experienced a drop by 0.69 per cent to ₹236.65 at 9.33 a.m. on BSE on Monday. The company’s stock had last traded at Rs. 238.30 compared to its previous close at Rs. 240.15. During the day, a total number of 82442 shares were traded in over 1699 trades with an intraday high and low of Rs. 251.05 and Rs. 237.50 respectively. The net turnover during the day was Rs. 20083990.00.

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