The Reserve Bank of India (RBI) on March 25, 2025, updated the Reserve Bank of India (Gold Monetization Scheme) Directions, 2015.
The following amendments have been stated:
• Para 1.3. (v) has been substituted with the following:
Medium and Long Term Government Deposit (MLTGD) - The deposit of gold made under the GMS with a designated bank in the account of the Central Government for a medium term period of 5-7 years or a long term period of 12-15 years or for such period as may be decided from time to time by the Central Government. Government of India has discontinued mobilization of MLTGD, including renewals, with effect from March 26, 2025.
• Para 2.2.2. (ii) has been substituted with the following:
The deposit under this category will be accepted by the designated banks on behalf of the Central Government. The receipts issued by the CPTC/GMCTA and the deposit certificate issued by the designated banks shall state this clearly. The mobilization of a deposit under this category, including renewal, has been discontinued with effect from March 26, 2025. The MLTGD as on March 25, 2025 (read with para 2.3 below) will continue to be governed by the relevant provisions of this Direction.
• Para 2.2.2. (vii) has been substituted with the following:
Central Government has decided that with effect from November 5, 2016, designated banks will be paid handling charges (including gold purity testing, refining, transportation, storage and any other relevant costs) for a new MLTGD at a flat rate of 1.5% and commission at the rate of 1% of the rupee equivalent of the amount of gold mobilized under the scheme until deposits are accepted. In case of renewal of deposits on or before March 25, 2025, as banks will not incur any expenses on purity testing, refining, transportation, storage and insurance etc., the banks will only be given a fixed commission of 1% of the rupee equivalent of the amount of gold on the date of renewal towards their administrative and account maintenance cost.
This circular is applicable to all Scheduled Commercial Banks (other than Regional Rural Banks).
The amended provisions contained in this circular shall come into effect from March 26, 2025. The Master Direction is hereby updated to reflect the changes effected by the amendments to the Scheme.
[Notification No. RBI/2015-16/211 Master Direction No.DBR.IBD.No.45/23.67.003/2015-16]
