Ujjivan Small Finance Bank Looks to Sell Rs 270 Cr of Micro-Banking Loans

Ujjivan Small Finance Bank is planning to sell Rs 270 crore worth of micro-banking loans to improve its liquidity position. The bank aims to offload these loans to a non-banking financial company (NBFC) to free up capital and enhance its financial stability. This move is part of the bank's strategy to manage its asset quality and reduce the burden of non-performing assets (NPAs). The decision comes amid a challenging economic environment where small finance banks are facing increased pressure to maintain adequate liquidity and manage risks effectively. By selling these loans, Ujjivan Small Finance Bank hopes to strengthen its balance sheet and continue supporting its core business operations.