Muthoot Finance aims to set-up 9000 WLAs in 3 years timespan – 1000 in first year; 2000 in second year and 6000 in third year. Having a dominant presence in the country with 4000+ branches in over 21 states & 4 Union Territories of India, the company has taken a strategic decision to establish 65% of these WLAs in semi-urban and rural areas (mainly tier III to VI cities/towns). The ATMs will be user-friendly WLAs; even for the differently-abled people – in terms of voice, Braille and wherever feasible, access facilities by ramp also. Muthoot intends to put in place customer grievances redressal mechanism with a definite timeframe for resolution of grievances.
Commenting on the development, Mr. K.R Bijimon, Chief General Manager, Muthoot Finance Ltd. says, “This is a remarkable development and it has opened host of opportunities for us. With a view to enhance our brand image, and diversify our activities, we had applied to RBI for license to set up a WLA network. Having a very large penetration in semi urban and rural India, it has been our long term strategy to offer innovative payment products and channels to the customers. We intend to install 9000 ATMs in next 3 years and are now working towards obtaining the certification of Authorisation from RBI. The process of identifying Sponsor Bank/s and finalizing ATM network across India has already begun.”
Being an industry leader, Muthoot Finance will drive on its existing strengths for setting up WLA in various geographical locations- the use of synergy derived from the market leading position in Gold Loan business; a strong presence in under- served rural and semi-urban markets.
Earlier in June 2012, the Reserve Bank of India had issued policy guidelines permitting non-bank entities to set up and operate WLAs in the country after seeking Authorisation under the Payment and Settlement Systems Act, 2007. Previously, only banks were permitted to set up and operate ATMs in India. The primary objective of permitting non-banks to operate WLAs was to enhance the spread of ATMs in semi-urban and rural areas (mainly tier III to VI cities/towns).
About Muthoot Finance Ltd:
Muthoot Finance Limited is the largest gold financing company in India in terms of loan portfolio. The company is a “Systemically Important Non-deposit taking NBFC” headquartered in the southern Indian state of Kerala and with its corporate office in New Delhi.
Operating history of Muthoot Finance has evolved over a period of 74 years since M George Muthoot (the father of our Promoters) founded a gold loan business in 1939 under the heritage of a trading business established by his father, Ninan Mathai Muthoot, in 1887.
The company provides personal loans secured by gold jewellery, or Gold Loans, primarily to individuals who possess gold jewellery but could not access formal credit within a reasonable time, or to whom credit may not be available at all, to meet unanticipated or other short-term liquidity requirements.
Company is listed on both National Stock Exchange of India and Bombay Stock Exchange.
