India Gold Import Bill Could Hit $88-90 Billion by FY27: Kotak

Kotak Seeks Committee to Tackle Gold Import Burden

Uday Kotak has called for a dedicated committee to examine India's rising gold imports, warning that the country's gross gold import bill could touch $88-90 billion in FY27 and add pressure to the current account.

Speaking at the Conference on Financing India's Journey Towards Viksit Bharat in New Delhi, Kotak said household gold had generated substantial wealth for Indians but remained largely outside productive economic activity. He suggested examining ways to address the import burden while also taking into account people's demand for gold.

Kotak estimated that India's current account deficit could be around $60 billion assuming crude oil prices of about $90 a barrel, while gold imports could rise to $88-90 billion in FY27. He cautioned against excessive financialisation as India increasingly relies on capital markets to fund growth.