Winning Bizness Desk

Mumbai. The Reserve Bank of India (RBI) added 72.6 tonnes of gold to its reserves in 2024 and purchased an additional 2.8 tonnes in the first two months of 2025. With this, India's total gold holdings have risen to 879.58 tonnes, positioning the country as the seventh-largest gold reserve holder globally. The top six countries include the US, Germany, Italy, France, China, and Switzerland.

Currency printing cost climbs sharply

The cost of printing banknotes surged by 25% in 2024-25, reaching ₹6,372.8 crore, compared to ₹5,101.4 crore in 2023-24. This steep rise is attributed to the increasing prices of materials such as paper, ink, and security features. The spike indicates growing financial pressure on currency management operations.

India maintains strong growth momentum

India's economy continues to exhibit robust growth. The RBI projects a real GDP growth rate of 6.5% for 2025-26. In 2023-24, the real GDP grew by 7.6%, up from 7.0% in 2022-23. This marks the third consecutive year of growth above 7%, reaffirming India’s status as the world’s fastest-growing major economy.

Inflation expected to stay within target

Retail inflation is expected to remain around 4%, comfortably within the RBI’s target range of 4% ±2%. This indicates a stable price environment, offering relief to consumers. However, the central bank cautioned that global commodity volatility and erratic weather conditions may drive food inflation upwards.

Bank fraud numbers drop but value triples

The total number of reported bank fraud cases dropped from 36,060 in 2023-24 to 23,953 in 2024-25. However, the total value of frauds surged from ₹12,230 crore to ₹36,014 crore during the same period. This suggests that while fewer frauds are being reported, the financial impact of each incident has grown significantly.

Household savings rise, but so do liabilities

Gross household financial savings, measured as a percentage of Gross National Disposable Income (GNDI), increased from 10.7% in 2022-23 to 11.2% in 2023-24. This reflects higher investments in shares, debentures, bank deposits, provident funds, and pension funds. However, household liabilities also rose, moving from 5.8% to 6.1% of GNDI during the same period.

Public debt a major concern, says RBI

The RBI flagged high public debt as a significant concern in its report. India’s public debt currently stands at 81% of its GDP, which the central bank considers excessive. It warns that such a high debt-to-GDP ratio may limit future fiscal flexibility and could pose risks to macroeconomic stability.

Key Highlights from RBI's Annual Report

• RBI purchased 72.6 tonnes of gold in 2024, increasing reserves to 879.58 tonnes
• India now ranks 7th globally in gold holdings
• Currency printing cost jumped 25% to ₹6,373 crore
• India’s real GDP growth in 2023-24 was 7.6%, projected at 6.5% for 2025-26
• Inflation expected to remain around 4%, within the RBI's comfort zone
• Value of bank frauds tripled despite fewer incidents
• Public debt at 81% of GDP raised concern over fiscal sustainability