Gold loan stocks rally after RBI hikes loan-to-value ratio limit and eases small loan norms

June 6, 2025

Gold loan stocks surged 2–7% after RBI raised the LTV ratio on loans under ₹2.5 lakh to 85%. Simplified norms reduce compliance burden, aiding lenders like Muthoot Finance, Manappuram Finance, and IIFL Finance amid broader rate cuts and policy clarity.

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