Gold loan provider Muthoot Finance Ltd has launched a new loan scheme for small and medium enterprises (SMEs) for their working capital requirements. Under the scheme, Muthoot Finance will disburse gold loans of Rs. 10 lakh and above at an interest rate of 12 per cent per annum.
The company expects to grow its customer base in this high-ticket loan category from 4 per cent to 10 per cent by June 2018, Babu John, Deputy General Manager, Muthoot Finance told newspersons at a press conference here on Thursday. “The loan will be now available through all our 4,200 branches, including the 599 branches across Andhra Pradesh and Telangana,” he said.
Muthoot Finance has 599 branches spread across Andhra Pradesh and Telangana with over 3,200 employees. At the end of September 2017, Muthoot Finance Ltd’s current Assets Under Management (AUM) in the two states stood at Rs. 4,146 crore (Rs 2,257 crore in Andhra Pradesh and Rs. 1,889 crore in Telangana State).