Indian Households Hold More Gold Than the World’s Top Central Banks
Indian households possess one of the largest private gold reserves in the world, with the value of gold held by families now exceeding the combined gold reserves of the world’s top 10 central banks. The findings have been highlighted in an analysis by industry organisation Assocham.
According to the analysis, the sharp rise in gold prices during 2024–25 and early 2026 has significantly increased the value of gold held by Indian families. The estimated value of household gold reserves has now reached nearly five trillion dollars, making it one of the largest pools of private wealth globally.
The report underlines that gold continues to remain a deeply trusted asset for Indian households. It is not merely viewed as jewellery or a traditional possession, but also as an important financial asset, passed across generations and used as a source of security during economic uncertainty.
Assocham’s analysis states that even if only two percent of the gold held by households is annually channelled into financial instruments, it could give a major boost to economic growth. The report suggests that the mobilisation of household gold can help unlock substantial value and support India’s development goals.
The analysis further notes that if the current trend continues, around 40 percent of India’s total gold stock could be converted into financial resources by 2047. This could create a multiplier effect in the economy and may contribute an estimated 7.5 trillion dollars to India’s GDP. Since India’s GDP is projected to reach nearly 34 trillion dollars by 2047, such mobilisation could potentially push the economy beyond 40 trillion dollars.
The report also points out that a significant portion of household gold remains outside the formal financial system. Assocham has suggested that policy measures should be strengthened to bring more of this idle gold into productive economic use. This may include improved gold deposit schemes, gold-backed financial products and easier mechanisms for households to monetise gold without losing ownership sentiment.
During financial year 2025–26, up to November 2025, the amount of loans issued against gold and jewellery increased sharply. According to the report, gold and jewellery-backed loans rose to ₹24.34 lakh crore, which is approximately 26 billion dollars. This reflects the growing use of gold as collateral for credit access.
The report highlights both the cultural and economic importance of gold in India. While Indian families continue to preserve gold as a symbol of tradition, security and prosperity, its financial mobilisation could become a powerful contributor to national economic growth in the coming decades.
