RBI Brings 1 Lakh Kg Gold From UK To India
The RBI has brought back 102 tonnes of gold from the Bank of England, marking a historic move to strengthen India’s economy and preserve national wealth.
On Dhanteras (29th October), the Reserve Bank of India (RBI) announced that it has brought back 102 tonnes of gold from the Bank of England in London to its vaults in India. This brings the total gold returned to India since 2022 to 214 tonnes.
Why Was India’s Gold Stored in England?
India has kept a large part of its gold reserves overseas, mainly in the Bank of England and the Bank of International Settlements (BIS). This started before independence and continued for decades. Storing gold abroad made it easier for the RBI to buy and trade gold in international markets.
The 1991 Economic Crisis
The return of gold has special meaning due to India’s 1991 economic crisis. At that time, India had very little foreign currency and was struggling to pay for imports like oil and food. To solve this problem, India borrowed money by pledging its gold as security. Although the loan was repaid by November 1991, the RBI kept the gold abroad for easier trade.
A Sign of Economic Strength
Since September 2022, India has been bringing gold back, signaling the country’s improved financial position. With 102 tonnes of gold now in India, the RBI holds 510.5 tonnes of its total 855 tonnes of gold. This move helps the RBI save on storage fees and shows India’s growing economic strength.
A Complex Operation
Bringing the gold back was a major task, requiring months of planning and coordination between the Finance Ministry, RBI, and other government agencies. A special aircraft with high security was used to transport the gold. It is now stored in the RBI’s vaults in Mumbai and Nagpur.
Expert Views
Economist Sanjeev Sanyal praised the move, saying, “India has come a long way since 1991 when we had to send gold abroad. Now, we hold most of it.”
India’s Growing Gold Reserves
India has also been buying more gold in recent years. Between April 2022 and September 2024, India added nearly 100 tonnes to its reserves. This shows India’s increasing confidence in its economy.
Looking Ahead
The return of gold marks an important milestone for India’s future. It helps preserve national wealth and strengthens the country’s financial position for future challenges.
