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Three Kerala companies have more gold than Sweden, Singapore, Australia!

[email protected] (TNN)
December 14, 2014

Kerala companiesKochi, Dec 14: Three gold loan companies in Kerala have more precious metal in their vaults than the gold reserves of some of the richest nations. Muthoot Finance, Manappuram Financeand Muthoot Fincorp jointly hold nearly 200 tonnes of gold jewellery, which is higher than the gold reserves of Singapore, Sweden or Australia.

India accounts for approximately 30% of the global demand for gold, a true-and-tested source of insurance for millions of families that have little access to other forms of social security. What is true for India is even more so for Kerala, where 2 lakh people are employed in the gold industry. The metal's fungibility makes it an ideal collateral for over-the-counter loans.

Muthoot Finance holds 116 tonnes of gold as security for its loans, Manappuram Finance has 40 tonnes and Muthoot Fincorp, 39 tonnes. The trio's combined holdings are 195 tonnes. To put things in global perspective, Singapore's gold reserves are 127 tonnes, Sweden's 126 tonnes, South Africa's 125 tonnes and Mexico's 123 tonnes.

Muthoot Finance, the largest of Kerala's gold loan companies, holds more yellow metal in its vaults than the reserves of Greece (112.4 tonnes), Australia (79.9 tonnes), Kuwait (79 tonnes), Denmark (66.5 tonnes) and Finland (49.1 tonnes).

India, according to the World Gold Council, has the 11th largest gold reserves, with 558 tonnes. The US heads the pack with 8,134 tonnes, while Germany and IMF come next (3,384 and 2,814 tonnes, respectively).

"Historically, Malayalis have excelled in financial services as an ethnic group. The size of these companies reflects their innovative skills. Gold loan business also reflects Malayalis' hunger for gold and the strong dowry system which feeds gold and gold loans," said CJ George, founder and managing director of stock broking firm Geojit BNP Paribas.

It was even better a couple of years ago. Muthoot Fincorp, which has a gold loan portfolio of Rs 8,550 crore, then had 41 tonnes of gold in its vaults. "Then, two things happened ” gold prices declined and banks became aggressive in gold loans. As gold prices declined, our business also came down slightly, reflecting on our gold holdings," said Thomas John Muthoot, chairman and managing director of Muthoot Fincorp.

Muthoot Finance is the largest gold loan NBFC with a reach of over 4,265 branches across 21 states and four Union territories. Its gold loan portfolio is Rs 21,800 crore. Manappuram Finance has 3,200 branches nationwide and 20,000 employees, with a gold loan portfolio of Rs 9,000 crore.

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News Network
August 4,2020

Bengaluru, Aug 4 : Without mentioning any party leader's name, Karnataka Congress President DK Shivakumar on Monday appealed to Congress workers not to make any "defamatory statement" against any political leader on social media platforms.

Taking to Twitter, Shivakumar wrote, "I appeal to Congress workers not to make defamatory statements against any political leader, on matters of health and other issues on social media platforms. It is not in our culture to wish bad for others. Congress is a party that exemplifies brotherhood and humanity."

His statement comes days after Rajya Sabha MP and AICC in-charge for Gujarat, Rajiv Satav comment where he suggested that introspection in the party should begin from the time of the United Progressive Alliance -II government.

Later, Satav took to Twitter to clarify his remarks at Thursday's meeting of the party's Upper House MPs. Satav, through a series of tweets on Saturday, said he was not comfortable discussing what goes on inside party meetings in forums outside.

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News Network
February 21,2020

Bengaluru, Feb 21: A young woman in Bengaluru was detained today for holding a placard saying ''Free Kashmir'' at a demonstration in the city to protest against the arrest of college student Amulya Leona who had raised pro-Pakistan slogans at an anti-CAA rally a day ago.

The arrested has been identified as Ardra Narayan, a 20-year-old student of an engineering college at Malleshwaram in the city's western suburb.

"Ardra Narayan is being questioned at the Silver Jubilee Park police station after she was whisked away from the spot and detained for holding the placard with ''Free Kashmir'' written on it," Bengaluru Police Commissioner Bhaskar Rao said.

On a complaint by Sri Ram Sena activists, who were protesting against Amulya at the venue, the police booked a suo moto case against Ardra under sections 153A and 153B of the IPC (Indian Penal Code) for disturbing peace and harmony.

The placard also displayed ''Give Us Liberation'' and ''Freedom from India'', a Sri Ram Sena activist alleged.

The development comes a day after Amulya, 19, was arrested under section 124A of the IPC for sedition and jailed for 14 days for allegedly shouting "Pakistan Zindabad" at the anti-Citizenship Amendment Act (CAA) rally at Freedom Park in the city centre on Thursday.

"We are trying to ascertain if there is any connection between Amuly and Ardra though she was alone at the spot holding the placard," Assistant Commissioner of Police (ACP) R. Chandrashekar told news agency.

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News Network
April 11,2020

Bengaluru, Apr 11:  Amid nationwide lockdown in the wake of COVID-19, former Karnataka Chief Minister HD Kumaraswamy on Saturday urged the state government to announce a relief package for farmers.

Prime Minister Narendra Modi on Saturday held a video conference with Chief Ministers.

Taking to Twitter, Kumaraswamy wrote, "As the lock down continues, what action plan does the government have to tackle the challenges of ensuring marketing channels for farm produce with timely transport and ensuring uninterrupted supply of essential groceries to towns and cities?"

He later asked the government to act "swiftly and effectively".

"On one hand we see farmers throwing their produce in despair and losing their livelihoods. On the other hand supplies to towns are depleting. This is threatening both lives and livelihoods. The government must act swiftly and effectively," Kumaraswamy tweeted.

"I urge the state government to immediately announce relief package to farmers by way of direct benefit transfer mechanism and purchase all the agricultural produce so as to avoid farmer suicides," he added.

With 40 deaths and 1,035 new COVID-19 cases in the last 24 hours, India on Saturday witnessed a sharpest ever increase in coronavirus cases, taking the tally of the infected people in the country to 7,447, according to the Ministry of Health and Family Welfare.

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