Apropos the editorial, “Gold rush, again” (July 13), the propensity of households for investing in the yellow metal is increasing rapidly and leading to the channelling of savings into unproductive investment. This would otherwise be essential to augment investment for economic growth and social development. Despite the presence of a developed financial market and the availability of a number of financial products, the savings habit of households is skewed towards investing in gold.
Hardly any of the savings in this particular segment is flowing to capital markets due to low risk appetite and inadequate financial literacy. Investments for various productive activities
