India’s gold reserves crossed the $100 billion mark for the first time, according to the Reserve Bank of India’s latest forex reserves data, buoyed by a global gold price rally.
RBI’s gold reserves rose by $3.595 billion to $102.365 billion in the week to 10 October 2025, while overall forex reserves fell $2.18 billion to $697.784 billion. The share of gold in RBI’s total reserves climbed to 14.7%—the highest since 1996-97, according to traders.
Gold’s share in India’s forex reserves has almost doubled over the past decade—from below 7% to nearly 15%—reflecting both steady RBI accumulation and a surge in global bullion prices. That’s led to the $100 billion milestone being hit despite a marked slowdown in the RBI’s gold purchases this year.
The central bank bought gold in only four of the first nine months of 2025, compared with near-monthly additions in 2024, according to World Gold Council data. Cumulative buying from January to September stood at just 4 tons, sharply lower than 50 tons in the same period a year earlier.
The share of gold in India’s forex reserves has increased significantly, largely driven by valuation gains from the rising gold price, Kavita Chacko, research head for India at the World Gold Council, told Rueters.
The gold price has surged about 65% in 2025, powered by a potent mix of macro, institutional and psychological drivers. Central banks, globally, have continued to accumulate gold as part of diversification away from US dollar— a trend spurred by heightened geopolitical risks, sanctions pressures and de-dollarisation.
India is the world’s second-largest consumer of gold and relies on imports to meet demand. Buying gold is deeply rooted in Indian culture, driven by tradition and its role as both an investment and a status symbol.