The Future of MSME Lending

Q1. Could you start by giving us a brief overview of your professional background, particularly focusing on your expertise in the industry?

I spent 32 years actually running lending businesses — not advising from the outside. I grew a small business loan portfolio from ₹700 crore to ₹3,400 crore. I fixed collections when they were broken. I built branch networks from scratch. Now I help NBFCs and banks think through their people, strategy, and leadership challenges. Everything I offer comes from having done it myself — not from a textbook.

Q2. What structural changes are reshaping the retail and MSME lending landscape, and which business models appear best positioned to capture growth over the next five years?

Three things. Data about borrowers is finally good enough to lend to people who have never had a credit history with confidence. Banks and NBFCs are finding smarter ways to share risk rather than carry it alone. And the real growth is not in big cities anymore — it's in smaller towns where credit has barely reached. Lenders who figured this out early and built on-the-ground presence are the ones pulling ahead now.

Q3. What emerging borrower segments remain underserved despite rapid credit…