India's Gold Import Increases By 10.5% To Usd 2.42 Billion In May

With the increasing demand of yellow metal owing to its lower prices pushed India’s gold imports by 10.5 per cent in May from a year before.
 
Imports by India, the net importer of gold, stood at USD 2.42 billion in May, compared with USD 2.19 billion a year earlier, according to the latest official data.
 
Gold prices have been down by roughly 10 per cent from a year before. In April this year, the imports grew 78.33 per cent to USD 3.13 billion. 

The increase in gold imports directly impacts the current account deficit (CAD). The Reserve Bank and the government have maintained that the CAD level is comfortable, but the surge in gold imports might put some pressure on them. 

India is the largest importer of gold, which mainly caters to the demand of the jewellery industry.

Source:knnindia.co.in