I am sure everyone present here shares my concerns outlined above and appreciates the fact that negative consequences of over-indebtedness, harsh recovery practices and adverse outcomes arising from harassment of customers will adversely impact the MFI eco system. From society’s perspective, there are economic and social implications. While chasing higher asset growth and returns, lenders should not throw caution to the winds.
I am often asked whether the NBU is too optimistic We are cautiously optimistic about our future, but let’s be real: uncertainty is now higher than ever. Our macroeconomic projections assume that the quarantine will end as soon as Q2, and that it will not be reintroduced. But what if we are wrong?