Finance Ministry Proposes Gold Loan Rule Exemptions

The Finance Ministry is looking at changing the rules for gold loans.

They want to exclude people who borrow small amounts, up to ₹2 lakh, from some of the new rules.

This comes after some political parties in Tamil Nadu expressed concerns.

The Reserve Bank of India (RBI) had previously suggested new rules to make sure loans are handled safely and responsibly, and to watch how the money is used.

These rules included a limit on how much money could be borrowed compared to the value of the gold.

The changes are intended to address those concerns.