In the financial year 2022, the size of the organized gold loan market in India was *** trillion Indian rupees. It was estimated to grow to *** trillion Indian rupees in financial year 2023.

During the financial year 2022, the share of organized players in gold loan financing was ** percent as compared to the ** percent share held by unorganized players in India. Even though the country's gold loan market is largely dominated by unorganized players, the sector has been on a downward trajectory in the last ten years. On the other hand, the share of organized players has been on the rise.

During the financial year 2022, Muthoot Finance had the highest market capitalization of *** billion Indian rupees, the highest among major players in the sector in India. It was followed by IIFL Finance and Manappuram Finance.

In the financial year 2022, the gold loan penetration rate in India is estimated to rise to * percent from *** percent in the year 2020. The country has witnessed a major boom in gold loans over the past decade.

In 2022, the Bank of Baroda in India witnessed an increase of almost ** percent in gold loans over the last year. Banks are slowly expanding their presence in the gold finance market which was once dominated by the NBFCs in India.

During the financial year 2023, the year-on-year growth rate of both banks and non-banking financial companies (NBFCs) in India increased to ** percent and ** percent, respectively. In the last ***** financial years, loan advances by NBFCs remained less than those by banks. Credit market in India The organized loan market in India has many players that can be categorized into banks or NBFCs. Traditionally, banks have been the main source of credit for various industries and sectors within the Indian economy. However, in recent years, NBFCs have emerged as a viable alternative to traditional banks, offering services such as loans, savings and investment plans, credit facilities, and insurance among others. While NBFCs are making significant strides, banks are also expanding their presence in the credit market. For example, to compete with NBFCs, banks have been increasing their disbursement of gold loans in recent years. NBFCs: driving financial inclusion NBFCs have emerged as a significant force in promoting financial inclusion in India by successfully catering to the underserved segments of society. As of September 2023, NBFCs in the country have disbursed loans and advances amounting to over *** billion U.S. dollars. The growing market share of NBFCs can be attributed to the lighter and more flexible regulations imposed by the Reserve Bank of India, as well as their focus on specific sectors and niche markets. The NBFC sector has been experiencing double-digit growth recently, and this trend is expected to continue in the near future.