RBI Just Revamped the Gold Loan Rules – Here’s What Banks Need to Know
RBI issues amendments to Gold Metal Loan (GML) Scheme for commercial and small finance banks, consolidating regulations, expanding scope, and enhancing operational flexibility.
Mumbai | December 4, 2025 The Reserve Bank of India (RBI) has issued Amendment Directions to update regulations under the Gold Metal Loan (GML) Scheme for commercial and small finance banks. The move follows stakeholder feedback on the draft GML Directions, 2025, issued on September 29, 2025.
The amendments aim to:
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Consolidate regulations related to Gold Metal Loans
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Address gaps in prudential regulatory aspects
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Expand the scope of the GML Scheme
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Provide banks with greater operational flexibility in formulating GML policies
The directions are expected to streamline operations for domestic and exporter jewellers, improve regulatory compliance, and support the development of a supervisory management information system (MIS) for GMLs.
The RBI has issued two sets of amendment directions:
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Commercial Banks – Credit Facilities Amendment Directions, 2025
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Small Finance Banks – Credit Facilities Amendment Directions, 2025
The move is part of RBI’s ongoing efforts to simplify banking regulations while ensuring better supervision and ease of doing business in the gold loan sector.