Framework for Gold Spot Exchange

In the Union Budget 2021-22, the Hon'ble Finance Minister announced the setting up of a Gold Spot Exchange and that SEBI would be the designated regulator for the proposed gold exchanges. Accordingly, SEBI proposed a regulatory framework for the gold exchanges in India and SEBI (Vault Managers) Regulation, 2021 to operationalise the gold exchanges and trading of EGRs in India. The broad specifications for EGR contracts were issued, enabling stock exchanges to introduce diverse denominations. These initiatives aim to enhance transparency and efficiency in India's gold market.