Gen Z Drives India's Gold Market Transformation

India's gold market is undergoing a significant transformation as Generation Z increasingly views gold as a modern financial asset. According to the World Gold Council's report, Swarnim Udaan 2047, Gen Z is expected to play a major role in shaping India's gold market over the coming decades.

The report highlights that changing lifestyles, rising incomes, and growing financial awareness are contributing to this shift in thinking among younger consumers. Unlike previous generations, many young Indians are comfortable combining tradition with technology, valuing gold for both its emotional and cultural significance as well as its potential for wealth creation and flexibility.

One of the key findings of the report is that a significant amount of household gold remains idle and could unlock nearly Rs 315 lakh crore worth of economic value if brought into the formal financial system. The World Gold Council believes that encouraging greater participation in organised gold products and financial solutions, such as digital gold and gold-backed financial products, could help make this wealth more productive.

The report also notes that India's demand for gold is expected to remain structurally high for years to come, but the country continues to depend heavily on imports. To address this, the World Gold Council recommends encouraging domestic gold mining alongside recycling and gold monetisation, aiming to meet 10% to 15% of its annual gold demand through domestic mining by 2047.