Modi launches first India gold coin, Gold Monetisation Scheme & Gold bonds

Pic Courtesy: https://twitter.com/PMOIndia

Zee Media Bureau

New Delhi: Prime Minister Narendra Modi on Thursday launched the first ever 'India gold coin' bearing Ashok Chakra in a move to cash in on the festive season of Diwali and Dhanteras which is an auspicious ocassion for Indians to invest in the yellow metal.

Besides the gold coin, Modi also launched the Gold Monetisation Scheme (GMS) and Gold Sovereign Bond Scheme.

Gold Monetisation Scheme (GMS), 2015

The GMS will replace the existing Gold Deposit Scheme, 1999. However, the deposits outstanding under the Gold Deposit Scheme will be allowed to run till maturity unless the depositors prematurely withdraw them.

Sovereign Gold Bond Scheme

The Government of India has decided to issue Sovereign Gold Bonds. The Bonds will be issued in multiple tranches subject to the overall borrowing limits of GOI. Applications for the bond under the first tranche will be accepted from November 05, 2015 to November 20, 2015. The Bonds will be issued on November 26, 2015.

With regard to Sovereign Gold Bonds, it said, the RBI in consultation with Government, has decided to issue such instruments.

"Applications for the bond will be accepted from November 5-20. The Bonds will be issued on November 26. The Bonds will be sold through banks and designated post offices as may be notified. The borrowing through issuance of Bond will form part of market borrowing programme of Government," it said.

After the unveiling of the gold schemes, PM Modi said that India has 20,000 tonnes of idle gold and gold is an important aspect of women empowerment.

India has surpassed China as world's largest gold consuming nation with 562 tonnes of buying so far this year, he added.