Page 9 - Bullion World Volume 4 Issue 3 March 2024

Bullion World | Volume 4 | Issue 3 | March 2024

Sh. K Rajaraman, the Chairperson of the International
Financial Services Centre Authority (IFSCA), delivered
the first keynote address. Citing IGPC's long association
with IFSCA and the contribution of its research and
databases, he highlighted the various implications of
formalizing gold trade in India, namely, its multiplier
effect, strategic relevance in global economy and
relationship with improved law and order. Interestingly, he
also identified prospective areas of research, especially,
the consequences of large gold reserves, new products
for NRI investors, possibility of a gold index, and
strategies for India to become an international price-
setter.

Dr T V Somanathan, Financial Secretary & Secretary
Expenditure, Ministry of Finance, addressed the
audience regarding the age-old scientific rationality
that has driven Indian households to invest in gold
which is rooted in economic uncertainty, the need to
hedge against inflation, a resource with an identity
separate from fiat money, and one which is not prone to
debasement.

Dr Somanathan also highlighted that current demand
trends should be expected to change in light of the
changing demographic which consists of younger
investors and the rising interest in financial forms of gold,
especially gold exchange-traded funds.

Over the two days, the conference proceedings were
attended by various functionaries across the WGC.
Mr. David Tait, the CEO, WGC attended the event,
and, in his keynote address, drew references to the
positive trends in global gold markets and noted that
the Indian market was set to expand in near future. With
expansion in market an inevitability, Mr. Tait noted that
the gold industry should collectively concentrate on
and cooperate to achieve responsible and sustainable
sourcing.

In this regard, he identified four key areas of focus,
namely, integrity in value chain, all-round accessibility to
consumers, improved fungibility, and global governance,
and noted significant steps taken by the WGC in all
these respects in the previous year. Following this,
P.R. Somasundaram, the Regional CEO of India WGC,
presented his thoughts on the unique opportunities and
challenges in the Indian gold markets.

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