The Reserve Bank of India, the central bank, not only presides over India's own gold reserves of 358 tonnes (1.5 m oz), but closely regulates the domestic gold market. The Bank has a majority stockholding in the State Bank of India, which is the main importer of gold for the local market. The Reserve Bank has also used India's gold reserves to help it through a short-term foreign exchange crisis. In 1991 it not only used 20 tonnes (0.64 m oz) of gold confiscated from smugglers in India, but 46 tonnes (1.5 m oz) of its own stocks as collateral for a standby loan from the Bank of Japan. When the balance of payments improved, India was able to redeem its gold; a good example of gold as a short-term life-line for a central bank.

Reserve Bank of India
Mint Road
Mumbai - 400 001
India

Tel. +91 22 266 1602
Fax +91 22 266 4667
Web www.rbi.org.in