Page 5 - Gold Loans
Retail, agri loans grow in June as states begin to ease Covid-19 curbs
Loans to agriculture and allied activities showed an accelerated growth of 11.4 per cent in June 2021 as compared to 2.4 per cent in June 2020
 "Retail, agri loans grow in June as states begin to ease Covid-19 curbs")
Muthoot Finance soars 17% in two days, hits new high on strong Q4 results
Despite a 10-12 per cent decline in gold prices, Muthooth Finance managed to grow the loan book by 4 per cent quarter-on-quarter
 "Muthoot Finance soars 17% in two days, hits new high on strong Q4 results")
How falling prices may impact the quality of gold loans for banks
Since June 2020, gold-loans surged even as lending to other segments was affected by asset-quality concerns
 "How falling prices may impact the quality of gold loans for banks")
Best of BS Opinion: Cannabis is no longer 'dangerous', gold loan, and more
Here's a selection of Business Standard opinion pieces for the day
 "Best of BS Opinion: Cannabis is no longer 'dangerous', gold loan, and more")
Non-food bank credit grows 6% in January 2021; gold loans rise 132%
The pace of retail credit, a segment which has the maximum focus of banks, decelerated to 9.1 per cent in January 2021 from 16.9 per cent in January 2020
 "Non-food bank credit grows 6% in January 2021; gold loans rise 132%")
Glitter online: Increased digitisation is remoulding India's gold loan biz
The WGC expects that with gold-loan NBFCs expanding their branch networks and making greater use of technology, the organised gold-loan market could reach Rs 4.62 trillion ($62.8 billion) in 2021-22
 "Glitter online: Increased digitisation is remoulding India's gold loan biz")
Coronavirus pandemic to boost gold loans to $55.2 billion in 2020-21: WGC
Gold loan industry traditionally been a pillar of support for small businesses and households in need of emergency short-term assistance
 "Coronavirus pandemic to boost gold loans to $55.2 billion in 2020-21: WGC")
Best of BS Opinion: Industrial era GDP measures, gold loans glitter & more
Here's a selection of Business Standard opinion pieces for the day
 "Best of BS Opinion: Industrial era GDP measures, gold loans glitter & more")
Gold loans glitter for banks
Loan against gold is the best route for monetising the yellow metal, and the Covid pandemic is acting as a catalyst for it
Gold loan assets of NBFCs expected to grow at 15-18% in current fiscal
The demand, especially from individuals for meeting urgent personal requirements and from micro enterprises for working capital to restart businesses, would propel gold loan growth
SBI to waive processing fee on YONO loans, offers 10 bps off on home loans
The country's largest lender is offering the lowest interest rate starting from 7.5 per cent to customers opting for car loans
 "SBI to waive processing fee on YONO loans, offers 10 bps off on home loans")
State Bank of India targets 3x growth in retail, MSME gold loans
Cheap deposit money, which helps offer low lending rates, gives banks the edge over gold loan companies
 "State Bank of India targets 3x growth in retail, MSME gold loans")
Raiding RBI war chest, asking people to deposit gold needless distractions
Using the central bank's gold to raise resources is no substitute for bolstering the sovereign's credibility with investors
 "Raiding RBI war chest, asking people to deposit gold needless distractions")
SBI eyes three-fold rise in retail, MSME gold loan business in FY21
To use digital banking platform YONO extensively to cut-down on response time and scale up activity for it
 "SBI eyes three-fold rise in retail, MSME gold loan business in FY21")
RBI notification excluding NBFCs from gold loan rule will hurt poor women
Central bank's decision to the raise the loan-to-value ratio is welcome relief for formal banking, but it does not address the issues faced by the most badly affected segments of our economy.
 "RBI notification excluding NBFCs from gold loan rule will hurt poor women")
Gold loans: Govt focus right on getting more liquidity to the people
True that the lender would now have a smaller buffer in case of a fall in the value of gold kept as collateral. But that's a calculated risk
RBI monetary policy: Gold Loan firms seek parity with banks on LTV
The RBI increased from 75 per cent to 90 per cent the permissible loan-to-value ratio (LTV) for banks to give loans against pledge of gold ornaments and jewellery for non-agricultural purposes
 "RBI monetary policy: Gold Loan firms seek parity with banks on LTV")
Manappuram Finance posts 38% jump in Q1 net profit at Rs 368 crore
The non-banking finance company (NBFC) had registered a net profit of Rs 266.78 crore in the same period of the previous fiscal year
 "Manappuram Finance posts 38% jump in Q1 net profit at Rs 368 crore")
Federal Bank focuses on gold loans amid Covid-19 to drive credit demand
The bank is targeting gold loan growth to touch 35 per cent during FY21 as against 29 per cent in FY20
 "Federal Bank focuses on gold loans amid Covid-19 to drive credit demand")
We'd like to be seen as a full service new-age private bank: CSB Bank chief
In a Q&A, C V R Rajendran, MD & CEO, CSB Bank Ltd, dwells on how the lender turned around in FY20, after several years of losses
 "We'd like to be seen as a full service new-age private bank: CSB Bank chief")
