Gold Price– The Gold Price are rising rapidly. The price of 99 carat gold is trading above Rs 1 lakh 7 thousand per 10 grams. Gold prices have gone up rapidly in the last few years. In such a situation, people are being a little cautious about buying gold and want to buy it when the price of this precious metal comes down.
Along with the common man, RBI and many central banks of the world have also reduced the purchase of gold. In fact, these central banks have slowed down the purchase of gold due to the uncertainties related to geo-political tensions and the rise in gold prices due to this. Earlier, many central banks of the world, including RBI, have bought gold heavily in the last few years. The World Gold Council said, “Based on the data released by global central banks, they have bought a net 10 tonnes of gold in July.”
According to the data of the central banks, the amount of gold they have bought in the month of July is 70 percent less than in July 2024. In the first quarter of the year 2025, the central banks have bought 123 tonnes of gold which is less than the 130 tonnes of gold bought in the same period last year. RBI bought 123 tonnes of gold in the June quarter of 2024.
Why are central banks reluctant to buy gold?
As per report, G Madhavankutty, Chief Economist, Canara Bank, said, “If the ongoing geopolitical tensions in the world reduce, then gold prices may fall. In such a situation, central banks will get better opportunities to buy gold to increase their gold reserves.”
G Madhavankutty also said that like other central banks of the world, the Reserve Bank of India is also following this pattern. RBI has increased gold holdings but is now waiting for new developments on the geo-political tension front.He said, “If a trade deal is reached between India and America, then the price of gold may fall.”