The Reserve Bank of India (RBI) has significantly increased its gold reserves by adding 102 metric tons during the April to September 2024 period. This brings the total domestic gold holdings to 510.46 metric tons, up from 408 metric tons as of March 31, 2024. Overall, the RBI's total gold reserves now stand at 854.73 metric tons, a rise from 822.10 metric tons at the end of the previous financial year.

The RBI's domestic gold reserves have seen a substantial increase, with 510.46 metric tons now stored locally as of September 30, 2024.

The total gold held by the RBI, including both domestic and international holdings, reached 854.73 metric tons.

Of the total reserves, 324.01 metric tons are held abroad, primarily with the Bank of England and the Bank for International Settlements (BIS), while an additional 20.26 metric tons are in the form of gold deposits.

The value of these gold holdings has surged to approximately $65.74 billion, compared to $52.67 billion in March 2024, reflecting both increased tonnage and rising gold prices.

Like the last time, RBI and govt undertook a secret mission involving special aircraft and detailed security arrangements to move the gold, acutely aware that the information should not leak out. The shipments also require an exemption from the levy of taxes. Authorities are not ruling out further movement although significant shipments are unlikely this year.

This move to bolster domestic gold reserves aligns with India's broader strategy to increase local holdings amid rising geopolitical tensions and economic uncertainties globally. The RBI has been gradually relocating its gold reserves back to India from abroad, marking one of the most significant movements since 1991 when India faced a foreign exchange crisis.

Quick liquidity given access to the London bullion market was cited as a key advantage of storing gold with the Bank of England. RBI data also revealed that RBI has increased its gold holdings, which at the end of Sept accounted for 9.3% of India’s foreign exchange reserves, compared with 8.1% in end-March.