New Delhi, April 2026 — India has officially resolved a brief but disruptive halt in precious metal imports by releasing the authorized list of banks for the current financial year. The delay in this annual administrative order had reportedly left over 13 metric tons of gold and silver stranded at customs, causing significant anxiety within the nation’s massive jewelry industry.

The Import Logjam Cleared

The administrative delay had created a temporary bottleneck, with over 5 metric tons of gold and 8 metric tons of silver stuck awaiting customs clearance. Typically, this authorization is issued at the start of the financial year; the late publication this year forced a brief cessation of imports by banks whose licenses were pending renewal.

The new list features 15 banks approved by the Reserve Bank of India (RBI) to import both gold and silver. Major domestic players like SBI, HDFC Bank, ICICI Bank, and Axis Bank are included, alongside international entities such as Deutsche Bank and the Industrial and Commercial Bank of China.

Gold Imports: Value Hits Record Highs

India remains the world’s second-largest consumer of gold, primarily driven by the jewelry sector. While the sheer volume of imports saw a slight dip, the financial impact reached unprecedented levels:

• Record Value: Gold imports surged 24% to an all-time high of $71.98 billion in the 2025-26 fiscal year.
• Volume Paradox: In terms of quantity, imports actually fell nearly 4.76%, totaling roughly 721 tons compared to 757 tons the previous year.
• Silver Surge: Silver imports saw a staggering 150% jump in value, reaching $12 billion, fueled by both higher global prices and a 42% increase in volume.

Economic Implications and the Deficit

The surge in the value of these imports has direct consequences for India’s macroeconomic health. The precious metal bill is a major contributor to the Current Account Deficit (CAD), which rose to $13.2 billion (or 1.3% of GDP) in the December quarter.

The widening deficit is largely attributed to a higher trade imbalance, further pressured by a decline in exports to the U.S. and the high cost of maintaining India’s appetite for gold.

Bottom Line

The release of the authorized bank list provides much-needed relief to the bullion market and ensures the jewelry industry’s supply chain remains intact. However, the record-breaking dollar value of these imports remains a double-edged sword: while it reflects robust domestic demand, it continues to put significant pressure on India’s trade balance and the strength of the Rupee.