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SEBI official: Only 2% of gold imports through exchanges
SEBI Executive Director Ram Mohan Rao said at an event on Wednesday that just 17 tonnes of gold were delivered through exchanges last year against imports of about 780 tonnes, a mere…
The Story in Brief
SEBI Executive Director Ram Mohan Rao said at an event on Wednesday that just 17 tonnes of gold were delivered through exchanges last year against imports of about 780 tonnes, a mere 2 per cent. He urged India to build a larger role in global bullion price discovery instead of remaining a top consumer.
Rao estimated that 25,000-30,000 tonnes of gold is held privately in India, and called for integrating physical and financial markets. He said retail investors must benefit first to encourage wider participation, and highlighted GIFT City’s IFSC as key to deeper liquidity and international connectivity.
The Indian Opinion
The common narrative paints India as a gold consumer lacking ambition. But the real hurdle is not absence of gold, it is the reluctance of households to monetise jewellery and bars into paper instruments. Cultural attachment is not irrational. If exchanges want retail participation, they must offer tangible benefits, lower costs, assured purity, easy liquidation. The test will be whether the IFSC bullion platform can attract both Indian hoarders and foreign traders without diluting trust. That is a harder ask than flagging numbers.
Source: bfsi.economictimes.indiatimes.com
This story was synthesised by AI from the source linked above.
