National News

Major Gold Reserves Unearthed in Odisha: A Game-Changer for India’s Mining Industry

Odisha’s Gold Discovery Sparks Optimism for Growth in the Mining Sector, with Plans for Large-Scale Auction Underway

Published

2 years ago

March 31, 2025

Odisha has emerged as a promising new hub for gold mining, following the discovery of vast gold reserves across several districts. Bibhuti Jena, the state’s Mines Minister, confirmed the exciting find and announced ongoing exploration efforts. The state is set to hold a large-scale auction of gold mining blocks in the near future to capitalize on this newfound potential.

Key districts such as Sundargarh, Nabarangpur, Keonjhar, and Deogarh have been identified as hotspots for the gold reserves. Exploration is also expanding to regions like Malkangiri, Sambalpur, and Boudh, with more discoveries anticipated. In Mayurbhanj, areas like Jashipur, Suriaguda, Ruaansi, Idelkucha, Maredihi, Suleipat, and Badampahad are under investigation for their mineral potential.

One of the most notable discoveries has been in Deogarh district, specifically in Adasa-Rampalli, an area where gold traces had been found earlier. The Geological Survey of India (GSI) is actively conducting G-2 level exploration in this region, revealing the possibility of multiple mineral resources, including copper.

Keonjhar district is also a key focus for gold exploration, with surveys being carried out in areas like Gopur-Gazipur, Mankadchuan, Saleikana, and Dimirimunda. These efforts form part of Odisha’s larger strategy to develop its mining industry and fully utilize its untapped mineral wealth. The state government is closely involved, and the upcoming auction of gold mining blocks in Deogarh is seen as a major step forward.

The exploration is being carefully monitored by state authorities, the GSI, and the Odisha Mining Corporation, with technical committees set to review the final exploration reports to assess the viability of commercial mining. Early findings suggest promising potential, and final results are expected by the end of 2025.

This discovery further solidifies Odisha’s reputation as a mineral-rich state, while positioning India as a key player on the global mining stage. If the reserves prove commercially viable, the gold deposits could provide a significant economic boost, drawing both domestic and international investments into the country’s mining sector.

Related Topics:2025 Gold News nationalnews

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National News

Gold loans surge: Borrowers pivot to secured credit on soaring gold prices

Driven by surging bullion prices, regulatory tightening on unsecured debt, and evolving consumer perceptions

Published

4 hours ago

October 2, 2026

JewelBuzz Spread The Buzz

Driven by surging bullion prices, regulatory tightening on unsecured debt, and evolving consumer perceptions, gold loans in India are expanding at their fastest pace in years. Recent Reserve Bank of India (RBI) data shows bank loans against gold jewellery jumped 88.1% year-on-year (y-o-y) in July 2026, while Non-Banking Financial Companies (NBFCs) recorded a 68.5% y-o-y increase.

This trajectory significantly outpaces broader retail credit lines. In comparison, combined NBFC retail loans grew by 21.4% y-o-y, and overall bank personal loans expanded by just 16.2% over the same period.

Key Market Drivers Fueling the Boom

Soaring Collateral Value: Domestic gold prices nearly doubled from ₹74,152 per 10 grams in September 2024 to ₹1,51,687 by September 2026. This appreciation allows borrowers to secure higher loan values against the same physical gold. The average gold loan ticket size grew from roughly ₹1 lakh in FY24 to ₹1.7 lakh in FY26.

Tighter Regulatory Norms for Unsecured Credit: Following the RBI’s 2023 risk-weight hikes on consumer credit (raising weights from 100% to 125% for personal loans and up to 150% for NBFC credit cards), lenders shifted focus toward gold-backed collateral.

Higher Loan-to-Value (LTV) Caps: Under revised regulatory frameworks effective April 1, 2026, the RBI replaced the flat 75% LTV cap with a tiered structure, allowing up to 85% LTV for loans up to ₹2.5 lakh, enabling greater liquidity access for small-ticket borrowers.

Streamlined Origination & Lower Rates: Gold loans remain highly cost-effective, typically priced between 8.5% and mid-20% per annum compared to 10–30% for personal loans. Loans under ₹2.5 lakh require minimal documentation, bypassing formal income proof and mandatory credit checks.

Expanding Borrower Demographics

The gold loan portfolio outstanding reached ₹22.7 trillion in August 2026, accompanied by broadening demographic participation.

Data from CRIF India reveals expanding participation among women borrowers—who now account for 42.3% of the outstanding portfolio—alongside a rise in “low risk” credit profiles (increasing from 41% to 48.6%), indicating widespread adoption among financially stable households and younger borrowers viewing gold as an active financial instrument.

Advisory for Borrowers

Industry experts urge borrowers to exercise prudence despite easy accessibility:

Evaluate Total Costs: Beyond headline interest rates, assess processing fees, valuation charges, and renewal costs before committing.

Choose the Right Structure: Match earnings cycles to repayment modes—EMIs suit steady salary earners by reducing principal interest over time, whereas bullet payments suit lump-sum incomes but accrue higher cumulative interest.

Avoid Over-Leveraging: Borrowing at the maximum 85% LTV limit leaves no buffer against potential market price dips, which could prompt unexpected margin calls or additional collateral demands from lenders.