InvestorQ : Has Muthoot really seen big growth in its gold loan business recently?
Rashi Mehra made post

Has Muthoot really seen big growth in its gold loan business recently?

Answer
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Archita Jajjoo answered.
1 month ago


Muthoot has seen its loan disbursals up by 32% in the current fiscal year and it has already availed Rs.1475 crore from the special liquidity facility or SLF of the RBI. Muthoot has also benefited from rising prices as people are increasingly looking to monetize their gold.

Muthoot confirmed that in the last 4.5 months since the COVID-19, they had disbursed loans worth Rs.11,500 crore; up from Rs.8750 crore in the corresponding period last year. A total of 25 lakh customers availed the facility during this period with 75% to MSMEs.

Muthoot is currently witnessing a spurt in credit demand from all customers segments. Even students are availing the gold loan facility to purchase of laptops in order to facilitate online education as schools are currently shut due to the pandemic.

In the last few months, Muthoot had launched dedicated loan schemes targeting specific small businesses. This broadly includes gold loans for nano, micro, small and medium enterprises or MSM#Es. Even students and other segments are emerging as customer groups.