New Delhi: According to a Monday report, the credit exposure of India’s micro, small, and medium exposure businesses (MSMEx) reaching up to Rs 100 crore hit Rs 43.3 lakh crore in September, marking a 17.8 per cent jump from the previous year while showing no change from the previous month.
The report from CRIF High Mark noted that active loans increased 5.7 per cent YoY to 192.9 lakh, indicating that portfolio growth is now outpacing borrower growth and that lenders are moving toward larger‑ticket loans with customers whose profiles are maturing.
Small businesses captured the most significant rise, their share of exposure climbing to 39.5 per cent from 38.4 per cent a year earlier.
The medium segment mirrored this pattern, its share edging up from 22.5 per cent to 23.1 per cent and demonstrating consistent month‑over‑month growth.
Micro enterprises continue to dominate with 86.4 per cent of active loans, yet their total exposure held steady this quarter.
Portfolio quality kept improving, as the overall MSMEx Portfolio at Risk (PAR) 91–180 days stood at 1.6 per cent in September 2025, better than the prior quarter. Across all segments, more borrowers are now classified as Very Low and Low Risk.
“India’s MSME credit ecosystem continues to demonstrate resilience with India’s broader economic transformation. Micro borrowers remain the backbone in terms of loan volumes, the real credit momentum is shifting toward small and medium enterprises,” said Sachin Seth, Chairman, CRIF High Mark and Regional Managing Director – CRIF India & South Asia.
According to the report, PSU banks continue to dominate the micro enterprise lending market with a 36.3 per cent share, whereas private banks head the small and medium exposure segments at 46.4 per cent and 47 per cent respectively.
NBFCs broadened their presence, increasing their stakes to 20.1 per cent in the micro sector, 13.9 per cent in small, and 15.7 per cent in medium.
Term loans take the lead in MSME financing, particularly for medium enterprises where they compose over half of the exposure.
Maharashtra stays the top market, holding an outstanding exposure of Rs 7 lakh crore and enjoying robust year‑on‑year growth.
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