(a)whether appreciation in price of gold has effected the International Monetary System and Indian economy;
(b)if so, the details thereof and reasons therefor;
(c)whether buying of gold from International Monetary Fund (IMF) has resulted in soaring price of the metal; and
(d)if so, the details thereof and reasons therefor?
MINISTER OF STATE IN THE MINISTRY OF FINANCE(SHRI NAMO NARAIN MEENA)
(a) to (d) In recent years, gold prices have risen in the international
market due to gold’s “safe haven†status during the global financial turmoil /
crisis. The Reserve Bank of India (RBI) purchased 200 metric tonnes of gold
from the International Monetary Fund (IMF), under the IMF’s limited gold sales
programme, as part of the foreign exchange reserves management operations.
This was an official sector off-market transaction executed over a two week
period during October 19-30, 2009 at market based prices. As the purchase of
gold from the IMF formed part of monetary gold held by the RBI, demand and
supply conditions in the domestic gold market were not affected.