India’s Central Bank Boosts Gold Reserves
India’s central bank likely saw its gold reserves increase significantly last month, marking the largest surge in nearly two years, as reported by a World Gold Council analyst.
According to Krishan Gopaul, the Reserve Bank of India added over nine tons of gold in June, based on calculations using weekly data from the bank. This represents the most substantial increase in reserves since July 2022, bringing India’s total gold reserves for the year to 841 tons.
Central Bank Purchases Driving Gold Rally
The surge in central bank buying has played a crucial role in driving the bullion market rally this year, which saw prices hit a record high in May. The size and timing of these purchases have been closely scrutinized by the market, given their potential impact on prices.
Continued Interest in Gold Reserves
A recent survey by the World Gold Council revealed that a significant number of central banks are planning to increase their gold reserves in response to heightened geopolitical and financial risks. Approximately 20 central banks are reportedly looking to raise their gold holdings, although the specific countries were not disclosed.
India’s Gold Acquisition Trend
India has been a significant player in the global gold market, along with countries like China and Turkey. In a move to bolster its domestic reserves, the Reserve Bank of India recently repatriated 100 tons of gold from the UK back to its domestic vaults, as reported by the Times of India in May.
