What is the current gold holding of India?
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Synopsis
Discover how India's gold reserves reflect its economic health. The Reserve Bank of India has reported significant metrics regarding gold holdings, domestic storage, and foreign currency assets. This article dives deep into RBI's recent findings and their implications for the country's financial stability.
Key Takeaways
- India's total gold reserves stand at 879.59 MT.
- 511.99 MT of gold is held domestically.
- Gold's share in foreign exchange reserves has risen to 11.70%.
- Foreign currency assets amount to $567.56 billion.
- External asset managers are being utilized to diversify reserves.
New Delhi, May 5 (NationPress) As of March 2025, the Reserve Bank of India (RBI) reported a total of 879.59 metric tonnes (MT) of gold, with 511.99 metric tonnes stored domestically, according to an announcement made on Monday.
Of this gold, 348.62 metric tonnes is safeguarded with the Bank of England and the Bank for International Settlements (BIS), while 18.98 metric tonnes exists as gold deposits.
In terms of value (USD), gold's contribution to the overall foreign exchange reserves rose from 9.32 percent at the end of September 2024 to approximately 11.70 percent by the end of March 2025, as detailed in the RBI’s ‘Half Yearly Report on Management of Foreign Exchange Reserves’.
During the review period, reserves fell from $705.78 billion at the end of September 2024 to $630.61 billion by the end of January 2025, recovering to $668.33 billion at the end of March 2025.
From the end of December 2023 to the end of December 2024, external assets grew by $79.7 billion while external liabilities increased by $76.1 billion.
The foreign currency assets include multi-currency holdings managed in diverse portfolios, adhering to established norms that align with the best international practices.
As of March 2025, within the total Foreign Currency Assets (FCA) of $567.56 billion, $485.53 billion was allocated to securities, $45.68 billion was deposited with other central banks and the BIS, with the remaining $36.34 billion held in deposits with commercial banks abroad.
To innovate in reserve management and diversify the portfolio, the RBI has engaged external asset managers for a small fraction of the reserves.
At the conclusion of December 2024, the foreign exchange reserves’ coverage of imports (on a balance of payments basis) stood at 10.5 months (compared to 11.8 months at the end of September 2024).
The ratio of short-term debt (original maturity) to reserves climbed from 19.1 percent at the end of September 2024 to 22.0 percent at the end of December 2024.
Furthermore, the ratio of volatile capital flows (including cumulative portfolio inflows and outstanding short-term debt) to reserves rose from 67.8 percent at the end of September 2024 to 74.3 percent by the end of December 2024, according to the Bank's statement.
Point of View
The strategic management of these assets reflects India's commitment to maintaining stability and growth. It's essential for citizens to stay informed on how these developments may influence their financial decisions.
NationPress
08/06/2025
Frequently Asked Questions
What does RBI's gold report indicate?
The RBI's report indicates that India has significant gold reserves, contributing positively to the nation's foreign exchange stability.
How much gold does India currently hold?
As of March 2025, India holds a total of 879.59 metric tonnes of gold.
What percentage of gold is held domestically?
Out of the total gold reserves, 511.99 metric tonnes are held domestically.
What has changed in the foreign currency reserves?
The foreign currency reserves experienced fluctuations, decreasing to $630.61 billion and then recovering to $668.33 billion by March 2025.
What is the significance of external asset managers?
Engaging external asset managers allows RBI to explore innovative strategies in reserve management, enhancing portfolio diversification.
