India has struck a historic windfall as the global gold rally—the strongest in more than a decade—has pushed the nation’s combined gold holdings past ₹30 lakh crore ($3.29 trillion). With gold now priced at ₹1,16,822 per 10 grams, both the Reserve Bank of India (RBI) and Indian households are sitting on unprecedented notional gains.
RBI’s Golden Reserve
The RBI holds 879.58 tonnes of gold, valued at ₹10.28 lakh crore ($115.7 billion) as of September 30, 2025. Just a year ago, the same stockpile was worth ₹2.74 lakh crore, meaning its value has surged by 275% without any major additions in recent months.
- Gold’s share in India’s forex reserves has risen from 8–9% to over 12.5%.
- The RBI paused fresh gold buying in June 2025, after an aggressive accumulation through 2024, likely waiting for better entry points.
Households Hold the Real Power
The bigger story lies in Indian households, which collectively own about 25,000 tonnes of gold—the largest private holding in the world. At current rates, this translates to a staggering ₹29.21 lakh crore ($3.29 trillion).
- This household treasure exceeds the combined official reserves of the world’s top 10 central banks.
- The cultural affinity for gold—driven by tradition, weddings, and its role as a safe-haven investment—has quietly given India a strategic financial shield.
India vs the World
- India’s total gold stock (25,800 tonnes) outpaces China (18,000 tonnes), the U.S. (12,700 tonnes), and Germany (12,440 tonnes).
- Unlike other nations, where central banks dominate reserves, India’s strength lies in the decentralized wealth of its people.
Why It Matters
Gold has become more than a precious metal for India. It now acts as a geopolitical hedge, currency protector, and inflation shield—anchored by both the central bank and millions of families across the country.
