PIB Fact Check, RBI Dismiss Reports Suggesting Gold Reserve Sale

New Delhi: The Reserve Bank of India (RBI) and the government have rejected reports suggesting that the central bank sold a portion of its gold reserves in response to market pressures arising from the ongoing conflict in West Asia. The controversy began after a Bloomberg Economics analysis suggested that the RBI may have sold nearly $12 billion worth of gold during the two weeks ending May 22.

The report argued that the move could have been aimed at increasing liquid foreign-currency assets at a time when global uncertainty, higher crude oil prices and pressure on the rupee were affecting financial markets. The report quickly gained attention across social media and financial circles, raising questions about India’s reserve management strategy.

However, the RBI moved swiftly to deny the claims, stating that its physical gold holdings remain unchanged at 880.52 tonnes. Backing the central bank’s position, the Press Information Bureau’s Fact Check unit also dismissed reports of any gold sale.

The government said the conclusions drawn from reserve data were incorrect and urged people not to rely on unverified interpretations of official figures. Experts note that fluctuations in the reported value of gold reserves do not necessarily indicate a sale. Changes in international gold prices and currency exchange rates can significantly affect the valuation of reserve assets, even when the quantity of gold held by a central bank remains unchanged. India’s foreign exchange reserves continue to rank among the world’s largest and serve as an important buffer against external economic shocks.

The RBI regularly publishes reserve data, including details of gold holdings, foreign currency assets and other reserve components. The clarification comes at a time when investors are closely monitoring the impact of geopolitical tensions in West Asia on global markets. For now, both the RBI and the government have made it clear that no gold reserves were sold and that India’s reserve position remains stable.