The Reserve Bank of India’s (RBI) direction to banks to move from the incurred loss provisioning model to expected credit loss (ECL) will impact microfinance loan-focused banks the most, experts say. Bandhan Bank, IndusInd Bank, RBL Bank, AU Small Finance Bank, and IDFC First Bank have more exposure towards the micro loan segment.“The RBI plans to implement ECL for banks on new loans from April 2027 and on existing loans from April 2027 to March 2031. ECL will impact MFI banks: AU Small Finance Bank, RBL Ba ...