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Bloomberg Quint

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Image Credit: Bloomberg Quint

IIFL Finance To Muthoot: Gold Loan NBFC Stocks Fall After RBI Announces Fresh Norms

  • Shares of gold loan NBFC companies, including IIFL Finance, Muthoot Finance, and Cholamandalam Financial Holdings, fell after RBI announced new prudential norms for gold loans.
  • The new gold loan framework aims to harmonize rules across regulated entities, while considering their differing risk profiles, said the RBI.
  • RBI also proposed fresh norms for non-fund based facilities to ensure regulatory uniformity and broaden funding avenues for infrastructure projects.
  • Additionally, the RBI plans to enable securitization of stressed assets and expand the co-lending model to cover all loans and regulated entities.

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