The share of gold held by the Indian central bank in its exchange reserves has doubled in the past four years in late March, according to a report published on Monday by the Bank of India (RBI).
In value in dollars, the share of gold in the total exchange reserves increased to around 11.70 % at the end of March, against 9.32 % at the end of September 2024 and 5.87 % at the end of March 2021, indicates the half -yearly report of the central bank on exchange reserves.
At the end of March, the RBI held 879.59 tonnes metrics in gold, compared to 854.73 tonnes at the end of September.
The proportion of gold held on the national territory rose to 511.99 metric tonnes on March 31, against 510.46 tonnes at the end of September, according to the RBI.
“While 348.62 metric tonnes of gold were kept safely from the Bank of England and the Bank of International Regulations (BRI), 18.98 tonnes were held in the form of gold deposits,” said the report.
Central banks generally have gold reserves in order to diversify their assets, strengthen financial stability and mitigate risks. Gold can be used as a cover against inflation and monetary fluctuations.
Around the world, central banks have increased their gold purchases in the face of the volatility of markets and international currencies.
In addition, the short -term debt ratio compared to reserves, which was 19.1 % at the end of September 2024, increased to 22 % at the end of December, according to the RBI.
The ratio of volatile capital flows compared to reserves also increased, going to 74.3 % at the end of December 2024 against 67.8 % at the end of the previous three months, she adds.
