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Karnataka Leads India’s Microfinance Recovery with ₹23,743 Cr Portfolio; Sector Profits Set to Surge by 310 BPS in FY27

Published on: Thursday 29 January 2026

Karnataka Leads India’s Microfinance Recovery with ₹23,743 Cr Portfolio; Sector Profits Set to Surge by 310 BPS in FY27 As India’s microfinance sector reaches a crucial inflection point, Karnataka has emerged as a symbol of resilience. Research reports from Equifax India and India Ratings affirm the state’s robust microfinance portfolio of ₹23,743 crore. This validation comes alongside Budget 2025’s doubling of credit guarantee limits to ₹10 crore and evolving Q3 FY26 results,



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