(THE GIST OF PIB) Gold Monetisation Scheme

(MARCH-2025)

Gold Monetisation Scheme

• The Government of India has discontinued Medium-Term and Long-Term Government Deposits (MLTGD) under the Gold Monetisation Scheme (GMS) from March 26, 2025.

 What is the Gold Monetisation Scheme?

• Launched: November 2015, as an improved version of the existing Gold Deposit Scheme (GDS) and Gold Metal Loan (GML) Scheme.

• Allows individuals, institutions, and even government entities to deposit idle gold in banks and earn interest instead of storing it in lockers.

• Depositors can redeem the gold deposit in cash, gold bars, or coins upon maturity, but not in the same form (jewellery, bars, or coins).

Objective:

• To mobilize idle gold held by households and institutions.

• To bring gold into the formal economy and reduce gold imports, thereby helping reduce the Current Account Deficit (CAD).

CLICK HERE TO DOWNLOAD FULL PDF

CLICK HERE TO DOWNLOAD UPSC E-BOOKS

Study Material for UPSC General Studies Pre Cum Mains

Get The Gist 1 Year Subscription Online

Click Here to Download More Free Sample Material

<<Go Back To Main Page

Courtesy: PIB