zondag 23 maart 2014

India Set to Import Twice as Much Gold

It begins. This week, India allowed 5 private sector banks to import gold. The Reserve Bank of India (RBI) has allowed gold imports by HDFC Bank (HDBK.NS), Axis Bank (AXBK.NS), Kotak Mahindra Bank (KTKM.NS), IndusInd Bank (INBK.NS) and Yes Bank (YESB.NS), officials at the respective banks told Reuters.

This is major news because this will double the amount of gold imports to India from the current level.

As you know, Indian gold imports were flat in 2013 due to the tax imposed on gold imports in August 2013. Imports have been sharply down more than 50% ever since. But now that these 5 Indian banks are allowed to import gold, we expect the Indian gold import number to double again to its previous levels.

Indian Gold Imports

Monthly India Gold Trade (Koos Jansen: In Gold We Trust)

Premiums have soared to more than 20%. But I expect these premiums to come back down to the 10% level as imports double from the current level.

India Gold Premium

Will India become the largest gold importer once again? Read on here.

Geen opmerkingen:

Een reactie posten