What is India Doing to Gold?
- The general population doesn't trust them;
- They don't see the gold being returned, i.e. confiscation;
- They don't want depreciating Rupees paid as interest to them, i.e. interest bearing confiscation;
- They know that any period given before the gold is returned can be extended or extended until the national Balance of Payments crisis is over, i.e. confiscation for an indefinite period;
- The gold is already held away from the government's eyes (even buried in gardens) and not easily located.
- This is about using a nation's gold to support the nation's currency system, when it has lost credibility outside and inside of its borders.
- The quantity of gold within India is somewhere between 20,000 and 30,000 tonnes. To give this perspective the higher figure equals nearly the entire central bank reserve holding of gold globally. It is not far short of four times the gold holdings of the USA, which comprise around 75% of the US reserves. Individual temples hold more gold than some nations.