Govt plans new schemes to add shine to gold savings

In line with the thinking that gold should be looked upon more as a currency than a commodity, the government and the Reserve Bank of India (RBI) are considering gold-based savings products, for which returns would be with reference to gold, but with no need to purchase the yellow metal.

Decisions on gold would be in accordance with this, said people familiar with policymaking. This is being done to retain the attractiveness of gold as an investment vehicle.

The move follows the finance ministry’s decision to relax the sovereign gold bond scheme. Now the RBI has more powers to issue