Ujjivan SFB: Deposits Surge 18.8% in Q1 – MSME & Housing Loans Drive Strong Growth
Ujjivan Small Finance Bank Reports Robust First Quarter Performance
Ujjivan Small Finance Bank (SFB) has kicked off the financial year with a bang, reporting a significant 18.8% year-on-year increase in total deposits to ₹38,612 crore for the quarter ended June 30, 2025. This impressive growth, as detailed in a regulatory filing released on Friday, underscores the bank's expanding reach and increasing customer trust.
Driving Forces Behind the Growth
The surge in deposits is a key indicator of Ujjivan SFB's success in attracting and retaining customers. Alongside this positive trend, the bank's gross loan book has also witnessed healthy growth, increasing by 10.7% year-on-year to ₹33,287 crore. Crucially, the growth is being fueled by strong performance in key lending segments, particularly Micro, Small & Medium Enterprises (MSMEs) and housing loans.
MSME Lending: A Cornerstone of Success
Ujjivan SFB has strategically focused on serving the MSME sector, recognizing its vital role in the Philippine economy. The bank’s tailored lending products and services have resonated with small business owners, leading to a substantial increase in MSME loan disbursements. This commitment to supporting local businesses is not only financially rewarding for the bank but also contributes to economic growth and job creation within the Philippines.
Housing Loan Momentum
The robust growth in the housing loan segment further strengthens Ujjivan SFB’s position in the market. Driven by increasing homeownership aspirations and competitive interest rates, the bank has seen a significant rise in housing loan applications and approvals. This segment is expected to remain a key growth driver for the bank in the coming quarters.
Looking Ahead: A Positive Outlook
The bank’s Q1 performance provides a solid foundation for continued growth in the remainder of the year. With a strong deposit base, a growing loan book, and a strategic focus on high-growth sectors like MSME and housing, Ujjivan SFB is well-positioned to capitalize on the opportunities presented by the Philippine financial landscape. Analysts predict that the bank’s prudent risk management practices and customer-centric approach will further solidify its market position and drive sustainable profitability.
The bank's management remains optimistic about the future, emphasizing their commitment to innovation and providing accessible financial solutions to underserved communities. They are actively exploring new technologies and partnerships to enhance customer experience and expand their reach across the archipelago.
