PM Modi Appeals for One-Year Pause on Gold Purchases Amid Economic Concerns

Prime Minister Narendra Modi has urged citizens to voluntarily avoid purchasing gold jewellery and ornaments for one year, citing the need to conserve foreign exchange reserves amid rising economic pressures linked to Middle East tensions and a global oil crisis.

Speaking in Secunderabad, the Prime Minister highlighted that India imports large quantities of crude oil and gold, both of which require substantial payments in US dollars. He stated that reducing non-essential luxury imports could help strengthen the country’s economic resilience and protect foreign exchange reserves during uncertain global conditions.

The appeal triggered immediate reactions in financial markets, with shares of jewellery and retail companies witnessing sharp declines. Stocks linked to gold retail and luxury consumption reportedly fell significantly following the remarks, reflecting investor concerns over potential demand slowdown in the sector.