India's Gold Reserves Cross $100 Billion

India's gold reserves, held by the State Bank of India, have surpassed the $100 billion mark for the first time, reaching $102.36 billion in the week ended October 10, 2025. This milestone is primarily due to a significant 65% surge in global Gold prices in 2025, which pushed Gold to an unprecedented $4,300 per ounce. The share of Gold in India's total foreign exchange reserves climbed to 14.7%, the highest since 1996-97, reflecting both the State Bank of India's long-term strategy of diversifying its foreign exchange holdings and the valuation gains from rising Gold prices. This occurred despite a slowdown in the State Bank of India's gold purchases in 2025, with only 4 tonnes acquired between January and September, compared to 50 tonnes in the same period last year. The global Gold rally is attributed to renewed United States-China trade tensions and expectations of a US interest rate cut, reinforcing Gold's status as a safe-haven asset. While Gold holdings increased, India's overall forex reserves saw a slight dip of $2.17 billion to $697.78 billion, mainly due to a fall in foreign currency assets. India remains the world's fourth-largest holder of forex reserves and the second-largest consumer of Gold.