Recently, the Reserve Bank of India (RBI) completed a secret mission called ‘Gold Ghar Wapsi’ (Gold’s Return Home). This mission involved bringing back 102 tonnes of gold from the Bank of England’s secure underground vaults to India. The operation was carried out with high security and special aircraft to ensure the safety of the precious metal.
Why Did India Bring the Gold Back?
This mission was not the first of its kind. The RBI had also brought gold back in May due to rising global tensions. Since 2022, the RBI has transferred 214 tonnes of gold to India. The main reason for this move was safety. With global concerns growing, the Indian government and RBI believed it was better to keep the gold within the country.
Currently, India holds a total of 855 tonnes of gold. Of this, more than 510 tonnes are now stored safely inside India. The remaining 324 tonnes are still kept in the UK at the Bank of England and the Bank of International Settlement. These institutions are known for their strong security and are major holders of gold for many countries.
A Historic Move for India
This gold transfer is the largest since the 1990s. Back then, India had to send gold out of the country because of a financial crisis. This time, the situation is different. Instead of sending gold away, India is bringing it home to ensure safety and stability.
The mission was a joint effort by the RBI and the Indian government. They planned everything carefully, using special planes and tight security measures. The authorities have hinted that more such transfers could happen in the future, depending on the global situation.
Why Is the Bank of England So Important?
The Bank of England is one of the most important gold storage places in the world. It has around 400,000 gold bars, which weigh about 5,350 tonnes. These bars are stored in nine underground vaults, making the bank the second-largest keeper of gold globally, right after the Federal Reserve Bank of New York.
The vaults in the Bank of England are not only large but also very old. They were first built in 1697 and expanded over the years. These vaults store gold reserves for the United Kingdom and many other central banks worldwide. This allows for easy trading and liquidity in the London gold market.
What Does This Mean for India?
By bringing the gold back, India is taking an important step in securing its assets. Gold is a valuable resource that can help in times of economic uncertainty. Keeping it within the country adds an extra layer of safety. It also shows the government’s cautious approach in managing the country’s wealth, especially when the world is facing uncertain times.
Looking Ahead
The RBI and the government have not ruled out more gold transfers in the future. With 324 tonnes still stored in the UK, there could be more secret missions to bring the gold back. These moves would continue to strengthen India’s financial security and reduce risks from global issues.
So, the ‘Gold Ghar Wapsi’ mission is not just about moving gold. It is a sign of India’s careful and strategic planning to protect its wealth and prepare for any challenges the global economy might bring.