In a statement, Nilesh Shah, a part-time member of the Economic Advisory Council to the PM, highlighted that India could have achieved Prime Minister Narendra Modi’s $5 trillion GDP target “long before” if it were not for the habit of importing gold. Mr. Shah revealed that in the last 21 years, Indians have spent around $500 billion on gold imports alone.
According to official data cited by Mr. Shah, Indians have spent $375 billion on gold imports on a net basis in the last 21 years. He also mentioned the rampant smuggling of gold, evidenced by Customs’ gold seizures on a regular basis. Furthermore, Mr. Shah noted that people come back with gold jewellery from destinations like Dubai and successfully walk out of the Green Channel at the port of landing.
Mr. Shah emphasized that if the money traditionally invested in gold had been invested in Indian entrepreneurs like the Tatas, Ambanis, Birlas, Wadia, and Adani, the country’s GDP, growth, and per capita GDP could have been significantly higher.