More originators entered the market and mutual funds started investing in new issuances, says a report
Weak economic conditions will continue to hurt borrowers' ability to repay loans, keeping performance risks for asset-backed securities (ABS) elevated
The increase in the share of gold loans in securitisation, a trend witnessed in FY20, continued in H1FY21
Volumes of securitisation had stood at Rs 2 trillion in the year-ago period.
However, there are signs of recovery as September saw a rebound in securitisation transactions to Rs 10,000 crore
Lockdown impacted income generation capacity of many borrowers, making investors wary of fresh transactions given the likely deterioration in loan repaying capacity of retail borrowers
In Q1FY20, the share of gold loans was 20 per cent, in Q1FY19 it stood at 7 per cent and was a meagre 2 per cent in Q1FY18. CRISIL said.
According to ICRA, the total volumes are expected to be Rs 1.2-1.4 trillion in FY21, as against Rs 2 trillion in the last fiscal year
The RBI said the revision in guidelines is an attempt to align the regulatory framework with the Basel guidelines on securitisation that have come into force effective January 1, 2018
Securitisation under pass-through certificate (PTC) transactions was to the tune of Rs 92,000 crore in the past one year
Domestic securitisation market volumes touched all-time high of Rs 1.44 trn during the nine months to December 2018, as compared to Rs 84,000 crore for the entire fiscal 2018
Mortgages continued to be the driver of non-PSL securitisation
Three years' declining trend reversed