Page 27 - Banking Finance April 2018

PRESS RELEASE

The Economic Times successfully concludes first edition of NBFC &

MFI Summit 2018

The Economic Times NBFC & Micro Finance summit held The discussion on 'Financial Disruption: Laying digital
today at The Lalit Mumbai saw industry doyens footprints to drive financial inclusion' sawSuresh A
deliberateon growing significance of NBFCs & MFIs in the Shanmugam, National Head of BITS & CTO, Mahindra &
industry. The summit highlighted the role of NBFCs in Mahindra Financial servicestouch upon the usage of
promoting India's economic growth. It also analyzedthe digitalization. He said,"The audience wants something that
opportunities, challenges and problems faced by this sector is engaging enough for a lifetime and hence, using asmuch
and the way forward. as information available will lead to arise in the use of digital
platforms. With the help of these digital platforms, the rural
Commencingthe conference with his opening
sector will find something reliable enough for them to trust
remarks,Raman Agrawal, Chairman, FIDC & Senior VP in". Voicing his opinion,Punit Jain, CEO, Nelito, said, "Agility
Corporate Affairs, SREI, stated that the flow of non-bank
is very important as it sets the banks apart. Banks function
resources to the corporate sector, which includes bond
slower as compared to the NBFCs, which is why agility is
market borrowing and lending by NBFCs,has increased by important.
43% from April 2017 to December 2017. According to RBI
Financial Stability Report Dec 2017, NBFCs were the largest Technological advancements like the use of mobile phones
net borrowers of funds from the financialsystem, hence & the internet can help in making information easily
there are huge growth opportunities. accessible anytime anywhere. Hence reducing the demand
& reliance on bank branches". Sanjay Sharma, Managing
In a panel discussion held on the role of Financial Director, Aye Finance, stated that modern methods
Inclusion,George Alexander Muthoot, MD, Muthoot
overcome key challenges that had overwhelmed
Finance, said, "We are looking at using customer's credit
conventional lending. Providing further insights, Satrajit
score to give them unsecured loans as most of the gold
Saha, CBO, TransUnion CIBIL, said, "Digitalization gives us
customers do not have home of their own. Considering the
the ability to present multiple choices and reach the larger
power that technology holds, we are constantly trying to
audience at quicker pace. This will indirectly give rise to
use and evolve technology in a way that is beneficial and
larger NBFCs."
creates hassle-free experience formost customers." GovindS
ankaranarayan, Head- Strategy, Tata Capital, said, On his views on regulations, its evolution and prospective
"Combination of partnership & database helps in increasing changes,Rakesh Singh, CEO, Aditya Birla Finance, said,
penetration of financial inclusion. To reach large numbers "NBFCs and MFIs must have a last resort of borrowing like
of customers successfully& minimize risk we have partnered the banking sector. Manish Jaiswal, MD & CEO, Magma
with various governments to use their database and identify Housing Finance said,"NBFCs& MFIs are the largest
customer worthiness. Thus lending has been productive." propellants of ushering finance into the country".

Talking about the event, Deepak Lamba, President - Times The summit was a momentous event for networking
Strategic Solutions, said "The summit was initiated to with like-minded people from the sector, which
highlight the growth, success, challenges and other concluded with useful inputs like technology is not only
concerns of the industry through interactive panel at the head of banking and financial services, but also
discussions, keynotes and un-conferencing sessions. We are an increasingly digitalized India has underpinned the
grateful to the legends from the finance industry that rise of NBFCs. Another major advantage of NBFCs is
gathered here today for the larger good of the financial their ground level understanding of their customers
community by sharing inputs on factors affecting the rapid profile and their credit needs, which gives them an edge,
growth and upcoming opportunities within the NBFC & MFI as their ability to customize their products according to
space." client needs.

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