Indel Money Executive Director and CEO Umesh Mohanan recently shared insights on the changing role of gold in India during an episode of Simple Hai!, hosted by Vivek Law. The discussion focused on how gold in India is moving beyond tradition and emotion to become a practical financial tool that supports liquidity and inclusion.
India holds nearly 25,000 tonnes of household gold, much of which remains idle. Mohanan explained that global factors such as US economic trends, geopolitical tensions, central bank policies, and rising global debt now influence gold prices more than seasonal domestic demand. These factors have strengthened gold’s position as a stable asset in uncertain times.
He highlighted that only about 15% of household gold enters the gold loan pledge market, and a majority of this is still handled by unregulated moneylenders. Indel Money aims to change this by expanding regulated gold lending in Tier 2 to Tier 5 cities, helping households access safe credit while improving transparency and local economic activity.
Mohanan also spoke about how gold loans have shifted from being a distress option to a lifestyle finance solution used for education, business needs, agriculture, and home improvements. With longer loan tenures, customer education, and strong governance, Indel Money has built a model focused on trust, repayment discipline, and long-term relationships.
The conversation highlighted how structured gold loans are strengthening financial resilience across India.
Indel Money Executive Director and CEO Umesh Mohanan shared his views on the Union Budget FY27, highlighting its strong focus on foreign investment, financial stability, and long-term economic growth. According to him, the Budget is timely, especially in the context of rupee depreciation, slowing exports, and global trade pressures.
He noted that the government’s efforts to attract foreign capital are visible through tax exemptions for NRIs and Overseas Citizens, along with simplified FEMA rules. The Budget also aims to bring investments from large global corporations by offering customs duty exemptions across key sectors such as aviation components, nuclear power projects, lithium-ion batteries, critical minerals, solar equipment, and electronics manufacturing. These sectors are expected to play a major role in India’s medium-term growth.
On the banking and finance side, Mohanan welcomed the formation of a High-Level Committee on Banking for Viksit Bharat, which is expected to strengthen credit flow to banks, NBFCs, and MSMEs. Treating MSME trade receivables as asset-backed securities is seen as a positive step in easing credit access.
He also highlighted the government’s fiscal discipline, with a reduced fiscal deficit and increased public capital expenditure, which could encourage private investment. The simplified tax regime, support for data centres, bond market reforms, and rationalisation of MAT and STT were described as measures that support compliance, capital markets, and job creation.
In response to the Union Budget 2026, Indel Money Executive Director and CEO Umesh Mohanan highlighted the positive implications for India’s financial and credit ecosystem. The Budget, presented on February 1, 2026, emphasised long-term strength in banking and financial systems rather than short-term measures. Finance Minister Nirmala Sitharaman’s proposal to form a High-Level Committee on Banking for Viksit Bharat aims to enhance credit access across sectors, including banking, NBFCs and MSMEs — a step Mohanan described as significant for meeting broader financing needs.
Umesh Mohanan, Executive Director and CEO of Indel Money, said the move could address longstanding funding challenges. “On the banking and finance front, the constitution of a High-level Committee on Banking for Viksit Bharat is a notable step that will address the credit-financing requirements of banking, NBFC and MSME sectors. For the MSMEs, the trade receivables are now being treated as asset-backed securities, which will help them address their credit requirements,” he said.
Mohanan noted that treating trade receivables as asset-backed securities can help MSMEs meet credit requirements more efficiently, supporting growth and liquidity. He also pointed out the Budget’s clear focus on NBFC reforms, technology adoption and credit disbursement targets, which are expected to make credit flow smoother for borrowers who rely on non-bank financial institutions.
According to the article, these measures are designed to strengthen the foundations of India’s credit delivery system while maintaining financial stability, which could enhance access to formal credit for businesses and retail borrowers alike.
