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Gold rush: Soaring prices drive consumers to pledge their assets

News Snapshot:

The sustained rally in gold prices has led to a significant increase in gold loans issued by banks and financial institutions, as consumers leverage the rising value of their gold assets. Gold loan outstanding jumped by 68.3 per cent, or Rs 70,000 crore to Rs 1.72 lakh crore during the nine-month period ended December 2024 from Rs 1.02 lakh crore recorded in March-end of 2024, Reserve Bank of India data shows. Gold loan growth was only 12.7 per cent, or Rs 11.353 crore, at Rs 1 lakh crore in the same period of the previous year, according to RBI data….

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