PM Modi’s gold curb call may trigger 15% import drop
India's Prime Minister Narendra Modi has urged citizens to refrain from unnecessary gold spending, potentially causing a 15% decline in gold imports in September, according to trade estimates. Gold imports, which account for nearly 45 tonnes in August, are expected to decrease by 15% in September. This appeal comes as the government aims to reduce the import bill and the current account deficit.
The message has impacted Zaveri Bazaar, the largest gold trading hub, with jewellers anticipating a shift towards exchanging old jewellery rather than making new purchases. High gold prices, market volatility, and cautious spending habits are prompting consumers to preserve cash while still participating in festive celebrations.
Despite the potential slowdown in gold purchases, the demand for jewellery is expected to remain resilient due to its cultural significance in Indian celebrations.
Written by urgent.news from The Economic Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
