SENSEX NIFTY
Nov 04, 2010, 10.14 PM IST | Source: CNBC-TV18

Registration process for MFI very onerous: MFIN

Even as the Andhra Pradesh High Court conditionally stayed the MFI ordinance of the Andhra government, operators in the microfinance sector allege that they are being barred from collecting their dues.

Registration process for MFI very onerous: MFIN

Even as the Andhra Pradesh High Court conditionally stayed the MFI ordinance of the Andhra government, operators in the microfinance sector allege that they are being barred from collecting their dues.

MFIN has also asked that the MFI regulation should focus on macro issues and change anti-client provisions.

Alok Prasad, CEO, MFIN said, “The registration process was very onerous, that needs to be simplified and rather that doing it across each single district with the government authority it should be at the state capital level. It should not be on an annual basis and may be five years and a review after that.”

“So firstly registration, second is vis-ŕ-Vis the clients themselves where I think the government’s rules are very anti-client. For example repayments can happen only at the Gram Panchayat office which means the client has to walk long distance, loose whole day, wages may be in the process,” he adds.

“What we are saying is that leave a lot of matters which are the way you design a product for a client and don't get into that, deal with the larger macro issue what the concerns are and that we can collectively work together and find answers for,” Prasad adds.

READ MORE ON  MFI, MFIN, Alok Prasad

ADS BY GOOGLE

video of the day

Positive on PSU banks; NPA cycle may have peaked: Barclays

Explore Moneycontrol

Copyright © e-Eighteen.com Ltd. All rights reserved. Reproduction of news articles, photos, videos or any other content in whole or in part in any form or medium without express written permission of moneycontrol.com is prohibited.