Muthoot Finance may sustain gold loan growth despite rising competition

This report covers key India-focused updates related to loans, EMI, interest rates and banking. Muthoot Finance may sustain gold loan growth despite rising competition Published On May 16, 2026 at 02:22 AM IST Copy Link Share on WhatsApp Share on Linkedin Share on X Share on Telegram Share on Facebook Gold loan financier Muthoot Finance is expected to maintain healthy growth momentum in FY27 amid strong demand for gold-backed loans and elevated gold prices, although rising competition from large NBFCs could weigh on market share gains.Muthoot Finance remains well-positioned to benefit from sustained high gold prices, aided by higher customs duty on gold imports and tighter import measures by the government, according to a report by Motilal Oswal Financial Services. Demand for gold loans is also expected to remain favourable due to relatively constrained availability of unsecured credit.Management has guided for around 15 per cent gold loan growth in FY27, although the outlook may be reassessed later in the year depending on business momentum. MOFSL, however, expects stronger growth of around 25 per cent for FY27.