SFB NPAs to go up, loan growth to slow to 18-20 pc in FY25: Icra

Domestic rating agency Icra forecasts an increase in delinquencies and a slowdown in asset growth for small finance banks (SFBs) in FY25, driven by microfinance segment concerns. SFBs are expected to shift focus toward secured assets, although challenges with low-cost deposits and profitability persist.