RBI tightens gold import norms
RBI tightens gold import normsNew Delhi, May 13 (KNN) RBI has tightened regulations for overseas purchase of gold by banks and has restricted loan facility to curb gold import.
“To moderate the demand for gold for domestic use, it has been decided to restrict the import of gold on consignment basis by banks, only to meet the genuine needs of exporters of gold jewellery,” said RBI.
The working group on gold formed to look in to the matter had recommended aligning gold import regulations with rest of the imports for creating a level playing field between gold imports and other imports.
Previously nominated banks and agencies were permitted to import gold on loan basis, supplier’s credit and buyer’s credit basis and consignment basis as also on unfixed price basis.
Gold imports into India, the world's largest consumer of the metal, stood at around 830 tonne in 2012-13. (KNN)