Tuesday February 19, 2019
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PM Modi launches three gold-related schemes

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New Delhi: Prime Minister Narendra Modi on Thursday launched three gold-related schemes, including a coin engraved with the images of national emblem Ashok Chakra and Mahatma Gandhi on its two sides, in a bid to put some 20,000 tonnes of idle gold into productive use.

The other two schemes launched here are the gold monetisation scheme to convert jewellery and other yellow metal assets with people into interest-bearing deposits, and the sovereign bond scheme with an eight-year tenure, while allowing an exit option after five years.

We take a look at all three schemes:

Gold coins

-The coins will be available in denominations of 5 and 10 grams. A 20 gram bar or bullion will also be available. About 15,000 coins of 5 gm, 20,000 coins of 10 gm and 3,750 gold bullions will be made available through MMTC outlets.

-The Indian Gold coin is unique in many aspects and will carry advanced anti-counterfeit features and tamper proof packaging that will aid easy recycling.

-These coins will be distributed through designated and recognised MMTC outlets.

Gold Monetisation Scheme

Resident Indians (individuals, HUF, trusts, including mutual funds/exchange traded funds registered under Sebi norms) can make deposits under the scheme. The minimum deposit at any one time will be raw gold (bars, coins, jewellery excluding stones and other metals) equivalent to 30 grams of the precious metal of 995 fineness. There is no maximum limit for deposit under the scheme and the metal will be accepted at the Collection and Purity Testing Centres (CPTC) certified by the Bureau of Indian Standards.

Sovereign Gold Bond

Instead of buying gold in physical form investors can park their money in bonds which are backed by gold. The bonds will be available both in demat and paper form. Sovereign Gold Bond has more or equal advantage against the physical gold. The bond will be issued by RBI on behalf of the Government of India. The bond would be restricted for sale to resident Indian entities and the maximum allowable limit is 500 grams per person per year.
According to the World Gold Council, an estimated 22,000-23,000 tonnes of gold is lying idle with households and institutions in India. The annual imports amount to around 850-1,000 tonnes valued at $35-$45 billion.

These schemes will tap the festive season ahead of Dhanteras and Diwali.

(With inputs from various sources)

 

Next Story

Modi Inaugurates Patna Metro Rail Project Through Video Conferencing

The Patna Metro Rail project will cost about Rs 13,365.77 crore. It comprises two corridors of a total length 31.39 km.

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narendra modi, patna metro
Modi also opened the city's gas distribution at Patna and the Patna River Front Development's first phase. Pixabay

Prime Minister Narendra Modi on Sunday laid the foundation of the much-awaited Patna Metro Rail through video conferencing from Begusarai in Bihar.

Modi also opened the city’s gas distribution at Patna and the Patna River Front Development’s first phase.

The Prime Minister then launched the expansion work of Barauni’s oil refinery which would be increased to 9 million tonnes and other projects estimated to cost Rs 33,000 crore.

The Patna Metro Rail project will cost about Rs 13,365.77 crore. It comprises two corridors of a total length 31.39 km.

Narendra Modi, Patna metro
The project is expected to be completed in five years from the date of commencement. Wikimedia

In the first phase, a 33.1-km-long track having two corridors — east-west and north-south — will come up in Patna.

The west-east corridor would run between Danapur and Patna railway station via Dakbungalow Square while the south-north corridor would run between the Inter-State Bus Terminal and Gandhi Maidan via Rajendra Nagar and Ashok Rajpath.

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The project is expected to be completed in five years from the date of commencement.

Earlier, Modi flew into Patna and was welcomed by Governor Lalji Tandon and Chief Minister Nitish Kumar. All of them then took a helicopter to Begusarai, 130 km from Patna. (IANS)