Centre weighs jewellers' entry into revamped Gold Monetisation Scheme: Report

Fri July 03 2026

The Centre is exploring a proposal to allow jewellers to participate in a revamped Gold Monetisation Scheme (GMS) as part of efforts to unlock an estimated 30,000 tonnes of gold lying idle with Indian households, the Economic Times reported, citing people familiar with the discussions.

The move is aimed at reducing India's dependence on gold imports while reviving interest in the Gold Monetisation Scheme, which has seen limited traction. If approved, it would mark the first time jewellers are brought into the scheme, a step that industry participants believe could make it more attractive to consumers, the report said.

Discussions have gained pace following a series of meetings over the past two weeks involving senior government ministers, representatives of the Reserve Bank of India, banks and industry stakeholders, the Economic Times said.

The report added that the proposal is being fast-tracked ahead of the festive season, with elevated gold prices and high import duties continuing to weigh on jewellery demand and increase pressure on India's import bill.

Trade sources told the Economic Times that the revamped Gold Monetisation Scheme is likely to be announced in August. The publication had earlier reported on May 12 that the bullion industry had recommended several measures to the government to help mobilise idle household gold.

"The government is actively considering including jewellers in the scheme, as that will help bring out the idle gold from Indian households," a senior gold trade executive who attended the meetings told the Economic Times.

The proposed overhaul is expected to support the government's broader objective of channeling dormant household gold into the formal financial system while reducing the country's reliance on imported bullion, the report added.

Source: https://www.moneycontrol.com/