Muthoot Finance was founded in 1939 and is the largest gold loan NBFC in India, operating over 4,000 branches. It primarily provides gold loans, which constitute over 99% of its income. Muthoot Finance has the highest credit ratings among gold loan companies in India. It offers loans ranging from Rs. 1,500 to Rs. 10,000,000, secured against gold jewelry that is carefully appraised at its branches. The company focuses on employee development and training, and also engages in various environmental and social initiatives.

1. Muthoot Finance Ltd.
Manipal University, Jaipur
By : Rajat Sharma

2. Muthoot Finance was founded by M George Muthoot in
1939. The company has been licensed by Reserve Bank of
India under Section 45 I(a) of the RBI Act, 1934 to function as
a Non-banking financial company(NBFC) without accepting
public deposits.
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The company's gold loan business constitutes more than 99
percent of its total income.

3.  The company has more than 4,050 branches spread
across 23 states of the country Muthoot Finance
 Muthoot Finance is also the highest credit rated Gold
Loan company in India, with a credit rating of AA-
(CRISIL) and LAA-(ICRA) for its Long Term Debts and P1+
(CRISIL) & A1+ (ICRA) for its Short Term Debt
Instruments.
 The company's headquarters are located in Kerala, India,
and operates over 4,000 branches throughout the
country. Outside India, Muthoot Finance is established
in the UK, US, and United Arab Emirates.

4.  The target market of Muthoot Finance includes small
businesses, vendors, farmers, traders, SME business
owners, and salaried individuals.
 It aims at meeting gold loan requirements ranging from a
principle loan amount of Rs. 1500 up to the maximum
extent of Rs. 10,000,000 (1 CRORE).
 In addition to financing gold transactions, the company
offers foreign exchange services, money transfers, wealth
management services, travel and tourism services, and
sells gold coins

5.  The amount financed is based on the value of jewellery, valuation of gold jewellery is based on
centralised policies and guidelines.

6.  The gold loan approval process is linked with the appraisal of
gold jewellery that serves as a collateral
 Each of our branches possess trained personnel with
experience in appraising the quality of jewellery
 The appraisal process begins by weighing the jewellery using
calibrated weighing machines. The jewellery is then subject
to prescribed primary tests for gold quality, including stone
and acid tests,
 followed by additional tests, if required, such as salt tests,
sound, weight, pointed scratching, flexibility, colour, smell,
usability, magnifying glass and finishing tests
 Once the jewellery passes these tests, loans are disbursed,
based on the approved advance rate per gram
of gold.

7.  At Muthoot Finance, the primary objective of the human
resource function is employee development. The
Company offers its 25,351 employees the opportunity to
harness their skills and extend frontiers.
 The Company added 8,663 employees during the year
under review. Induction training was conducted for new
recruits at Staff Training College, Kochi, and New Delhi.
This training comprised a residential programme covering
the Company’s history, policies, processes and products,
among others.
 Company established Regional Learning Centres in all its
57 Regional Offices.

8. Towards a better environment Muthoot Group helps protect
the environment through the following initiatives:
 Clean City-Green City Marathon: Muthoot Group
participated in a Clean City-Green City Marathon by Kochi
Municipal Corporation, focusing on effective waste
disposal.
 ‘Horn not OK please’: This initiative by Muthoot Group
and the Kochi chapter of CII’s YI (Young Indians) increased
attention on vehicular noise pollution.
 Donations: Muthoot donated 50 sewing machines to the
physically challenged at Edakkara, Calicut.

9.  E-Toilet at Indira Priyadarshini Children’s Park: An award
winning etoilet was installed by Eram Scientific Solutions
(P) Ltd. At Kochi, incorporating the latest technology in
waste management and water conservation.
 Cash awards: Muthoot Group established Excellence
Awards for the toppers of 200 government schools across
seven educational districts in Kerala.
 Note book distribution: Muthoot Group distributed
50,000 note books to underprivileged children in Andhra
Pradesh, Tamil Nadu and Karnataka.
 Distribution of school uniforms: Muthoot Finance
distributed school uniforms to needy children in
government schools.