Indian Prime Minister Urges Citizens to Stop Buying Gold, Jewellery Stocks Plunge

Odaily Planet Daily News Indian Prime Minister Narendra Modi has called on citizens to refrain from purchasing gold for at least one year to protect foreign exchange reserves. Given that gold plays a crucial role in savings, weddings, and religious festivals in India, this appeal is quite surprising.

Modi stated on Sunday: "For one year, regardless of the occasion, we should not buy gold jewellery." He also urged the public to reduce fuel consumption and unnecessary overseas travel. He pointed out that India spends huge sums annually on gold imports and that people should avoid buying non-essential items.

It remains unclear to what extent the Indian public will heed Modi's call. However, shares of local jewellery manufacturers fell broadly on Monday. Titan Co., India's largest jeweller, fell as much as 6.6%, while Senco Gold and Kalyan Jewellers India saw their shares drop by 10.8% and 9.5%, respectively. (Jin Shi)