Indicating a return to normalcy, India’s largest truck finance firm, Shriram Transport Finance Company, on Wednesday said its collection efficiency has returned to 100% in the second half of January after a brief blip in the first fortnight.
Umesh Revankar, vice-chairman and MD, Shriram Transport Finance Company, said collection rates will increase in February and March as more people are vaccinated and the Omicron version becomes less impactful on the business than originally feared.
The collection rate reflects the level of confidence in borrowers, often viewed as a proxy of economic activity.
“The third wave (of COVID-19) was only temporary… people have come out of fear and business has returned to normal. Some states imposed some restrictions but later reversed them.” PTI, STFC said while disbursements may reach pre-COVID-19 levels, demand may “intensify” in the coming months.
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