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

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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Agencies
February 7,2020

Thiruvananthapuram, Feb 7: Making a scathing attack on the Central government, Kerala Finance Minister Thomas Issac on Friday said the BJP-led NDA government was "strangulating" the southern state by denying funds.

Presenting the 2020-21 budget of the Pinarayi Vijayan led-LDF government, he alleged the centre has been "helping" corporates rather that the common man.

"The Centre has been strangulating Kerala by denying funds for the state and has been moving on a self-destructive path by corporate-friendly policies and privatisation. The GST implementation has not been beneficial for the state," he said.

"The government proposes 2.5 lakh water connections in the upcoming financial year. We will also construct one lakh houses under Life Mission," the finance minister said.

The budget has allocated Rs 90 crore for Pravasi Welfare Fund and the government proposes power projects with a capacity of 500 MW.

"The government proposes Kochi development plan with a fund of Rs 6,000 crore. The city will get an unified travel card and Metro project will be extended," Issac said.

The state government has increased all welfare pension funds by Rs 100, allotted Rs 40 crore to paddy farmers and Rs 10 crore for startups in the state.

The local self-governments have been allotted Rs five crore for waste management, Rs 20 crore has been set apart for 1,000 food stalls under hunger-free Kerala, where meals will be made available at Rs 25. 

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News Network
May 3,2020

Bengaluru, May 3: Karnataka Government has allowed the movement of migrant workers, pilgrims, tourists, students and other persons who are stranded and also those who want to go to their residence as a "one-time measure" from district to district, after obtaining "one-day, one way" passes issued by concerned authorities.

Consequent to the Ministry of Home Affairs (MHA) new guidelines on lockdown measures, the government of Karnataka issued new guidelines on lockdown measures which will come into effect from May 4 for the period of two weeks.

In an order issued on Saturday, Chief Secretary and Chairman, State Executive Committee, Karnataka State Disaster Management Authority stated, "In the exercise of the powers, conferred under the Disaster Management Act, 2005, the undersigned, in his capacity of Chairman, State Executive Committee, hereby order to permit movement migrant workers, pilgrims, tourists, students and other persons who are stranded and also those people who want to go to their residence as a one-time measure from district to district with one-time one-day one-way passes issued by concerned Deputy Commissioners of the districts/Deputy Commissioner of Police in Commissionerates for strict implementation."

The details of the passes issued shall be shared by the issuing Deputy Commissioners of the districts/ Deputy Commissioner of Police with the receiving Deputy Commissioners of the districts/Deputy Commissioners of Police shall follow the SOPs prescribed by the Ministry of Health and Family Welfare for the movement of such persons, the order read.

It is reiterated that this would be a one-time one-day one-way pass for the individuals to reach their final destination.

Meanwhile, three deaths and 12 new COVID-19 cases were reported in the 24 hours in Karnataka, said the state Health Department on Saturday.

According to the Health Department, the total number of coronavirus positive cases in the State is now 601. 271 patients have either been cured or discharged. The virus has killed 25 people so far in the State.

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News Network
August 7,2020

Bengaluru, Aug 7: Action will be taken against private hospitals that were violating government norms and charging exorbitant fees charges for the treatment of Covid-19 patients and suspects, said Water Resources Minister Ramesh Jarkiholi.

The government has taken action against private hospitals in Bengaluru and the same parameters would be adopted other cities, he said speaking to media persons in Belagavi on Friday.

Jarkiholi said that the government had noticed that patients were levied exorbitant charges for Covid-19 treatment. People too have complaints regarding the huge bills by these private hospitals and have demanded action.

“We are not under the obligation of any private hospital and stringent action will be taken against all erring and violating government tariffs. They will have to treat patients and follow the tariffs fixed,” he stated.

Belagavi Institute of Medical Sciences District Hospital had been directed to install CCTV cameras in Covid-19 wards and install monitors at reception to facilitate monitoring of treatment and condition of the wards. BIMS management was taken to task for not following the directive and have been given a deadline to install CCTV cameras, Jarkiholi informed.

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