Gold demand in India may slow due to lower household savings – News Couple

Gold demand in India may slow due to lower household savings

Demand for gold in India is likely to be challenged by a lower household savings rate and lower agricultural wages, according to the World Gold Council. The WGC said in a report that higher income is one of the biggest drivers of gold demand, indicating that as the Indian economy grows, sales of the precious metal should increase. However, “households are saving relatively less than they did before, which could reduce the amount of capital they allocate for gold.” Other headwinds will emerge as more people access banks and financial products, providing investors with other sources of their savings, a lack of support from policy makers, and lower farm wages despite government measures in recent years, the report said. While economic growth has slowed due to the coronavirus pandemic, long-term prospects remain bright, fueled by demographic changes, increased urbanization, and shifts in the rural economy.

For 2021, jewelers are preparing for good sales in the festival quarter from October to December.

Dear Reader,

Business Standard has always strived to provide the latest information and commentary on developments that matter to you and that have broader political and economic implications for the country and the world. Your continued encouragement and feedback on how we can improve our offerings has made our determination and our commitment to these ideals even stronger. Even during these challenging times brought about by Covid-19, we continue our commitment to keeping you updated with trusted news, authoritative opinions and insightful commentary on relevant topical issues.
However, we have a request.

As we fight the economic impact of the pandemic, we need your support even more, so we can continue to bring you more quality content. Our subscription form has seen an encouraging response from many of you, who have subscribed to our content online. More subscribing to our online content can only help us achieve our goals of providing better and more relevant content. We believe in free, fair and credible journalism. Your support with more subscriptions can help us practice the journalism we are committed to.

Support quality press and Subscribe to Business Standard.

digital editor

Source link

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button