EXCLUSIVE: Banks Have A Gold Loan Edge? Raju Dodti On The Level Playing Field

Banks are rapidly growing their gold loan portfolios, raising questions about whether they have an advantage over NBFCs. Raju Dodti, Whole-time Director & COO, L&T Finance, explains why he believes the regulatory playing field is now level. He points to the RBI’s unified gold financing regulations, effective April 1, 2026, which apply to both banks and NBFCs. According to Dodti, the biggest advantage for established banks is their extensive branch network and geographical reach, as customers prefer depositing gold close to home. He believes this advantage could gradually narrow as NBFCs expand their branch networks across the country.