BIG Announcement of Finance Ministry: Will not apply to gold loans less than ₹ 2 lakhs.

News India Live, Digital Desk: The Finance Ministry said on Friday that it suggested that Reserve Bank of India (RBI) The small borrowers of up to Rs 2 lakh should be excluded from the provisions of their draft instructions to give the loan by pledging gold. The Finance Ministry has also suggested that the implementation of the guidelines should be postponed till next year.

Finance Ministry December 15 In a statement to, “The draft directions to give loans in lieu of the gold collateral issued by the RBI have been investigated by the Finance Minister Nirmala Sitharaman.

The statement said that DFS has also said that time will require time to implement such guidelines at regional level and hence it can be appropriate to apply them from January 1, 2026.

The statement stated that in addition, DFS has suggested that borrowers of less than Rs 2 lakh may be excluded from the requirements of these proposed instructions to ensure timely and early loan disbursement to such small borrowers.

The statement said, “The RBI is reviewing the feedback received on the draft guidelines. It is expected that the feedback received by the public is expected to be appropriately considered before the RBI finalizes the guidelines. The suggestions have been properly sent to the RBI.”

Following the Finance Ministry’s response, the shares of Muthoot Finance and Manappuram rose and they were trading at 3.07 percent and 0.57 percent respectively to Rs 2,136.10 and Rs 233.14 per share.

Earlier in April, the RBI issued draft guidelines, demanding banks and NBFCs to establish a uniform rule and regulation to obtain gold loans.

However, the draft rules have imposed some restrictions regarding the maximum loan amount given by the bank or NBFC in the draft rules.

RBI has found some shortcomings such as weak loan evaluation mechanisms, poor monitoring of final use of funds and lack of transparency during gold auction after default. The purpose of the draft guidelines is now to reconcile the norms of various types of lenders, as well as reflect their related risk abilities.

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