By Admin 
Gold News: In India, gold is linked to people’s emotions. Be it a wedding or any festival, buying gold is considered very auspicious. But now Prime Minister Narendra Modi is appealing to people to recycle the old gold lying in their homes instead of buying new gold. There are major reasons behind this related to the country’s economy, foreign exchange reserves and increasing import bill.
What appeal has PM Modi made?
Prime Minister Modi recently asked people to consider recycling the gold lying in homes and temples instead of buying new gold. He believes that if the gold already present in the country is properly utilized then the need to import gold from abroad will be reduced.
After Taiwan, South Korea has now overtaken India, becoming the world’s sixth largest stock market!
How much gold is there in India?
According to media reports, about 32,000 tonnes of gold is present in Indian homes and temples. It is considered to be one of the largest private gold stocks in the world. A large amount of this gold remains lying in lockers and safes and is not able to participate in economic activities.
Why is the government promoting gold recycling?
India imports most of its gold requirement from abroad. In the financial year 2025-26, the country imported gold worth about $72.4 billion. This puts a huge burden of foreign exchange on the country. Every time India imports gold, the payment has to be made in dollars. This increases pressure on foreign exchange reserves. The government wants dollars to be saved and foreign exchange reserves to remain strong. Current account deficit increases in case of more imports and less exports. Reduction in gold imports can help in controlling this deficit. Experts estimate that if even just 1% of the total gold present in homes and temples is recycled every year, India’s gold imports can reduce by 25% to 30%. Billions of dollars of foreign exchange can be saved through this.
What is the rate this morning, know the price of 18K, 22K, 24K gold and silver in your city.
What other steps did the government take?
To control the import of gold, the government has recently increased the import duty on gold and silver from 6% to 15%. Its objective is to reduce imports, support the rupee and reduce pressure on foreign exchange reserves.
What will be the impact on common people?
The government’s appeal does not mean that people should completely stop buying gold. Its purpose is to make people understand that the needs can be met by making better use of the old gold lying in the houses. This will benefit the country’s economy and also save foreign exchange.