IIFL Finance Stock Soars 13% After RBI Lifts Gold Loan Restrictions

Shares of IIFL Finance surged over 13% after the Reserve Bank of India lifted restrictions on its gold loan business. The restrictions had been in place since March 2024. The RBI's decision allows IIFL Finance to resume its gold loan operations immediately, complying with all relevant regulations.

Shares of IIFL Finance on Friday jumped over 13 per cent after the firm said the Reserve Bank of India has lifted the restrictions imposed on its gold loan business.

The stock surged 13.39 per cent to Rs 560.50 on the BSE. At the NSE, shares of the firm soared 13 per cent to Rs 560.60.

These restrictions were imposed on March 4, 2024, which prohibited the company from sanctioning, disbursing, or assigning/securitising/selling any of its gold loans.

''The Reserve Bank of India (RBI), through its communication dated September 19, 2024, has lifted the restrictions imposed on the gold loan business of IIFL Finance Ltd,'' IIFL Finance said in a regulatory filing on Thursday.

The RBI's decision is effective immediately and allows the company to resume the sanctioning, disbursal, assignment, securitisation, and sale of gold loans in compliance with all relevant laws and regulations.

''The company is committed to upholding the highest standards of compliance and will continue to ensure that the remedial actions taken are sustained,'' IIFL Finance said.

(With inputs from agencies.)