Overview
- The Department of Financial Services sent a Friday communique to bullion‑importing banks asking for month‑wise and overall data on gold metal loans (GMLs) and loans against gold dating from 2023, with tight deadlines for submission.
- The Reserve Bank of India separately asked banks to estimate current‑year GML exposure before the ministry's request, showing coordinated regulatory interest in the market.
- Requested details include value and volume of GMLs, number of customers and borrowers, international suppliers, portfolio size and quantum of collateral.
- Industry groups have proposed supply fixes such as using bars refined from domestically processed dore, recycling household bullion into loans for jewellers, export flexibilities and quota‑style allocations to reduce fresh imports.
- Signs of strain in the supply chain include four mutual funds limiting subscriptions to gold schemes and banks paying GST up front on imports, which has created refund uncertainty for exporters and added urgency to policy talks.