RBI Gold Reserves Cross $100 Billion as Bullion Prices Surge

The Reserve Bank of India's gold reserves have surpassed the $100 billion mark for the first time, reaching $102.365 billion as of October 10, 2025. This milestone was achieved largely due to surging global bullion prices, even though the central bank's gold purchases have been minimal this year.

RBI’s Gold Holdings Reach New High

RBI’s gold reserves jumped by $3.595 billion to touch $102.365 billion in the week ending October 10, 2025. Surprisingly, this increase comes even though the RBI bought gold in only 4 of the first 9 months of the year. Compared with 50 tonnes purchased in the same period in 2024, this year’s total sits at just 4 tonnes.

The surge in gold value has significantly altered the composition of India’s foreign exchange reserves. Gold now accounts for 14.7% of the total reserves, the highest share since 1996–97.

Global Surge Elevates Valuation

Gold prices have risen by approximately 65% in 2025 due to several global trends. Central banks around the world are increasing their gold holdings to reduce reliance on the US dollar. Heightened geopolitical tensions, growing sanctions, and the broader trend of de-dollarisation have only added momentum to this accumulation.

Read More: RBI Gold Reserves Soar by Over $19 Billion Amid Global Instability!

Impact on India’s Forex Reserves Composition

India’s overall foreign exchange reserves stood at $697.784 billion for the week ending October 10, 2025, down by $2.18 billion. However, the bulking up of gold has helped counterbalance this slight decline. Over the past decade, the share of gold in India’s reserves has nearly doubled from under 7% to almost 15%.

Gold's Cultural and Strategic Role in India

India, being the world's second-largest gold consumer, continues to view gold as both a cultural asset and a financial safeguard. RBI Governor Sanjay Malhotra noted that despite the rise in gold prices, Indian households are not selling their holdings, reaffirming their position as a reserve asset rather than a disposable commodity.

Conclusion

RBI’s gold reserves surpassing $100 billion reflects the dual effect of strategic accumulation and bullish global gold prices. Even with minimal buying, valuation gains have significantly supported India’s reserve portfolio, offering both financial stability and strategic strength amid global economic volatility.
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