RBI Secretly Brings 102 Tonnes of Gold to India from England for Diwali 2024 - Read Now

The Reserve Bank of India recently took an astute move in bolstering its gold reserve when it moved 102 tonnes of gold surreptitiously from the Bank of England to the secure depositories in India. This, it announced on Dhanteras on October 29, 2024, is one part of the RBI's overall agenda for fortifying the gold reserves of India at a time when global uncertainties are mounting.

Currently, RBI holds 854.73 metric tonnes of gold in the domestic as well as overseas vaults. It keeps 510.46 metric tonnes in India while 324.01 metric tonnes were deposited earlier with Bank of England and Bank for International Settlements (BIS). 20.26 metric tonnes are kept in the form of gold deposits. This is the first major RBI move toward building its domestic gold reserve and making gold reserve security a priority.

Recently, 102 tonnes have been shifted through an identical process in May, with approximately 100 tonnes of gold being moved back into India from the Bank of England. It brings total movement to Indian storages since September 2022 to around 214 tonnes. That said, that is the direction that is set toward foreign exchange reserves within the country due to geopolitics in the world.

Gold in India's total foreign exchange reserves has risen from 8.15% at the end of March 2024 to 9.32% by September 2024. This is a reflection of India's efforts to hedge against possible international market fluctuations through securing physical assets, such as gold.

Traditionally, the RBI maintains some gold reserves in England to avail itself of easy access to the London bullion market, and the Bank of England is the world's second-largest custodian of gold after the New York Federal Reserve. However, with this recent Diwali transfer, India's priority has clearly shifted toward increased domestic storage.

This strategic gold stockpiling within India ensures the RBI's strength, even when the global marketplace is unstable, and therefore increases the economic strength in India. The gold transfer 2024 Diwali is an example of future planning by the RBI so that the foreign exchange could be safeguarded and stabilization of India's financial outlook.

To know more details about RBI's gold stock management, the complete record of reserves can be accessed by visiting the RBI website under recent Foreign Exchange Reserves Report.