In a significant move aimed at stabilizing the domestic precious metals market, the Government of India has authorized 15 major banks, including the State Bank of India (SBI), HDFC Bank, and Axis Bank, to import gold and silver for a period of three years. This decision, announced today, April 17, 2026, follows a brief halt in imports that had left tonnes of bullion stranded at customs.Breaking the Logjam: Why the Permission MattersFor the past few weeks, the Indian bullion market faced a sudden supply crunch. Due to the absence of a formal notification from the Directorate General of Foreign Trade (DGFT) for the new financial year, nearly 5 tonnes of gold and 8 tonnes of silver were stuck at customs. This fresh authorization clears the path for these shipments and ensures a steady supply ahead of major festivals and the wedding season.The Full List: 15 Banks Authorized for 2026–2029The DGFT, in consultation with the Reserve Bank of India (RBI), has issued a list of lenders that can import these precious metals until March 31, 2029.Banks Permitted to Import Both Gold & Silver:State Bank of India (SBI)HDFC Bank LimitedICICI Bank LimitedAxis Bank LimitedPunjab National Bank (PNB)Bank of IndiaKotak Mahindra BankIndusInd BankYes BankFederal BankRBL BankKarur Vysya BankIndian Overseas BankDeutsche BankIndustrial and Commercial Bank of China (ICBC)Special Category: Gold-Only Imports Notably, the government has authorized Union Bank of India and Sberbank specifically to import only gold, keeping a close eye on the differentiated monitoring of bullion inflows.Impact on Gold Prices and the Trade DeficitIndia is the world's second-largest consumer of gold, and this policy change is expected to have a direct impact on domestic prices. By routing imports through these designated banks:Price Stability: A steady supply will likely prevent a sharp spike in premiums in the local market.Trade Balance: The government’s move to regulate these imports through a 3-year window helps in managing the Current Account Deficit (CAD), especially with rising global oil and fertilizer prices due to the ongoing Iran conflict.What This Means for Jewellers and ConsumersWith the clearance of stuck consignments, local jewellers (like Titan and Kalyan Jewellers) are expected to see a boost in inventory. For consumers, this could mean better availability and more transparent pricing as the "supply-gap" caused by the recent customs delay is bridged.
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