Finance Minister Nirmala Sitharaman stated that gold and silver imports are not at alarming levels, with the government and RBI actively monitoring the situation. She noted that gold prices experience seasonal spikes during festival periods, which is traditional behavior in India's consumer market. Sitharaman emphasized that India depends entirely on imports for gold supply, as the country lacks sufficient domestic sources for extraction. She acknowledged that global central banks are increasingly purchasing gold and silver for reserves, contributing to price increases beyond normal market fluctuations. RBI Governor Sanjay Malhotra added that despite rising prices, the order value of gold imports has not increased significantly in recent times. The government continues to assess the situation while maintaining that price movements remain within acceptable limits for the Indian economy.
