Gold Price Rise Impact: RBI’s Gold Value Jumps 57% to ₹4.32 Lakh Crore

India’s gold reserves have become more valuable than ever. Due to the rise in global gold prices, the value of gold held by the Reserve Bank of India (RBI) has jumped 57% in just one year, now reaching a record high of ₹4.32 lakh crore.

RBI’s Gold Value Sees Big Growth

According to RBI’s latest annual report, the value of its gold holdings increased sharply from ₹2.75 lakh crore to ₹4.32 lakh crore in FY 2023–24. This rise happened mainly because of higher gold prices in the international market and more gold being added to reserves.

Why Are Gold Prices Rising?

Gold prices are going up globally because of:

• Uncertainty in global markets
• Tensions between countries
• Weakness in the US dollar
• High demand for safe assets

Investors and central banks like RBI often buy gold when other assets feel risky. This makes gold more expensive.

How Much Gold Does RBI Own?

As per the report, the RBI held about 822.10 metric tonnes of gold by March 2024. Out of this:

• 413.79 tonnes are stored overseas in safe custody with foreign banks.
• 308.07 tonnes are held in India.
• The rest is part of Gold Deposits Scheme (GDS).

This gold is part of India’s total foreign exchange reserves, helping keep the country’s economy stable.

What Does It Mean for India?

A stronger gold reserve means:

• Higher strength of India’s foreign reserves
• Better economic safety during global crises
• Increased confidence in India’s financial health

This big rise in gold value gives RBI more room to handle inflation and protect the Indian rupee.

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FAQs

1. Why has RBI’s gold value increased?
Due to rising gold prices and more gold added to its reserves.

2. How much gold does RBI hold?
RBI holds about 822.10 tonnes of gold.

3. Where is RBI’s gold kept?
Some is stored in India, and some is kept safely in foreign banks.

4. How does this help India?
It strengthens India’s economy and supports the rupee during tough times.