Portfolio at Risk (PAR) is the amount of outstanding loans with one or more payment past die/amount may not be recovered by the MFI. The amount of risk depends upon the no. days the payment is due. The longer in arrears, the lower is the chance of receiving it. PAR is the key ratio that assists in evaluating credit risk in the portfolio by comparing the outstanding balance of all loans that have one or more past due payments with the current portfolio.