AMFIRS is aimed at providing financial relief from the Government to the microfinance borrowers in Assam to help them continue maintaining good credit discipline in COVID times. The scheme will provide incentive to clients who are regular in repayments and help overdue clients become regular – it is expected to benefit more than 20 lakh women borrowers in the State.
The MOU lays down duties and responsibilities of the two parties – GOA and lenders including 6 universal banks, 25 NBFC MFIs, 2 NBFCs, and 4 Small Finance Banks – for ensuring successful implementation of the scheme.
Dr Alok Misra, CEO & Director, MFIN said, “The signing of the MOU after several rounds of discussions is a significant development, demonstrating the intent of the Government of Assam and the microfinance institutions in working unanimously towards the welfare of microfinance borrowers in the State. We are confident that the implementation of the scheme will ensure continuity of microfinance for supporting economic activities of low-income households in the State while providing immediate relief to eligible customers for tiding over current stress in the microfinance sector further accentuated by Covid-19 pandemic. The Government’s on maintaining credit discipline and responsible finance is evident. “
Assam Chief Minister Himanta Biswa Sarma had in a press conference on the 18th of June, shared the broad contours of the scheme for Microfinance customers. The Scheme also emphasises responsible lending by financial institutions through compliance of RBI regulations and other industry guidelines in letter and spirit, while promoting responsible borrowing and timely repayment culture among customers.