DGFT authorizes 17 banks for import of precious metals

The Directorate General of Foreign Trade (DGFT) on Friday authorized 17 banks to import precious metals for the period from 1 April to March 2029, according to an official order.

Of these, Union Bank of India and Russia- headquartered SBER Bank are authorised to import only gold, while 15 others, including Axis Bank Ltd, State Bank of India, Indian Overseas Bank, and HDFC Bank Ltd, are authorised to import both gold and silver, the order showed. Bank of India, Deutsche Bank, Federal Bank Ltd and Industrial and Commercial Bank of China Ltd are also on the list.

In FY26, Indian Overseas Bank was authorised to import only gold, which has now been expanded to both precious metals, the order showed. SBER Bank was included in the list of banks authorised to import in December 2025, which has been retained in the latest list as well, showed the order. Another foreign bank authorised to import both precious metals in the latest list is Deutsche Bank, showed the order.

Precious metal imports are regulated by both the Reserve Bank of India and the DGFT given the macroeconomic implications of their imports. The authorised list enables the authorities to keep track of the import of precious metals, which has a bearing on the country’s current account deficit.

India’s gold imports rose 28.73% to $69 billion during April-February 2025-26, compared to the year-ago period, driven by elevated prices of the precious metal, PTI reported on 5 April.

The continued inclusion of select foreign banks reflects a balanced regulatory approach, ensuring both stability and efficiency in India’s bullion supply chains, said Rajat Mohan, Managing Partner at AMRG Global.

“By retaining global banking participation while updating the authorised list, the framework supports seamless sourcing and competitive pricing,” said Mohan.

Investor outlook

Gold price has surged in recent past driven by heightened central bank buying but geopolitical conflicts have introduced some volatility in prices. Despite recent volatility spikes, gold remains a strategic asset in investors’ portfolios, according to World Gold Council.

It is common for gold to retract initially during periods of risk as it is used as a source of liquidity, but recover and outperform other asset classes when heightened uncertainty persists, the council said in a review posted on its website. The addition of gold has a very low contribution to portfolio risk while visibly reducing its overall volatility, it said.

The yellow metal price in domestic markets stood around ₹15,361 for 24 carat, ₹14,070 for 22 carat, and ₹11,520 for 18 carat (999 gold) per gram on Friday, Livemint reported.