Virendra Pandit
New Delhi: The Union Finance Ministry on Wednesday rejected reports in a section of the media that the Reserve Bank of India (RBI) sold gold reserves worth USD 12 billion to shore up the country’s foreign exchange reserves.
Official data from the RBI’s Annual Report for 2025–26 shows that gold holdings actually increased by 0.94 metric tonnes during the year, ANI reported.
It also highlighted a sharp rise in the value of gold reserves due to higher global prices and rupee depreciation.
India’s overall foreign exchange reserves remained strong at USD 691.11 billion, reinforcing the central bank’s stable reserve position, it said.
A news agency report had claimed the RBI ‘likely’ sold gold valued at around USD 12 billion over a two-week period ending May 22 to protect the country’s foreign exchange reserves amid pressure on the rupee and a rising import bill.
The Finance Ministry said the RBI has denied this report.
A news report published by @Bloomberg states that RBI may have sold gold amounting to approximately USD 12 billion.#PIBFactCheck
This claim is FAKE
According to @RBIthe share of gold in India’s foreign exchange reserves rose from 13.92% at end-September 2025 to 16.70%… pic.twitter.com/eVjxPxEv1i
— PIB Fact Check (@PIBFactCheck) June 3, 2026
According to Meanwhile, the RBI’s latest Annual Report for 2025-26 shows that the central bank’s gold holdings actually increased during the financial year, contradicting claims of a large-scale sale of the precious metal.
According to the RBI Annual Report, “As on March 31, 2026, total gold held by the Reserve Bank was 880.52 metric tonnes as compared to 879.58 metric tonnes as on March 31, 2025, reflecting an increase of 0.94 metric tonnes of gold in the year.”
The data indicates that the RBI added to its gold reserves during FY26 rather than reducing them. The report further notes that of the total 880.52 metric tonnes of gold held by the central bank, 312.32 metric tonnes were maintained as assets of the Issue Department, while the remaining 568.20 metric tonnes were held under the Banking Department.
Gold price surges
The RBI’s annual accounts also revealed a significant increase in the value of its gold holdings, largely driven by a rise in global gold prices and depreciation of the Indian rupee against the US dollar. The value of gold held as an asset of the Banking Department rose by 63.6 per cent during FY26.
India’s forex reserves
The annual report also shows that India’s foreign exchange reserves remained robust, at USD 691.11 billion as of March 31, 2026, compared with USD 668.33 billion a year earlier. Gold reserves, including gold deposits, increased sharply in value terms to USD 115.40 billion from USD 78.18 billion in the previous year.
The RBI’s audited balance sheet and reserve data clearly demonstrate that the central bank continues to maintain substantial gold holdings and that reports suggesting a USD 12 billion gold sale are not borne out by official records.
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