The Indian government has denied reports that the Reserve Bank of India (RBI) sold gold worth almost $12 billion to shore up the country’s foreign exchange reserves. The claim came after a Bloomberg Economics analysis suggested the central bank could have cut its gold reserves due to rising oil prices, capital outflows and geopolitical tensions surrounding the ongoing Iran-US conflict.
However, the Press Information Bureau (PIB) has called the claim “fake” and said that RBI’s gold reserves have not declined. In fact, the share of gold in India’s foreign exchange reserves has been rising in the last several months, as per official RBI data. To clarify the headline question: No, the RBI didn’t sell $12 billion worth of gold to protect India’s forex reserves, the government’s fact check says.
What Did PIB Fact Check Say?
The PIB Fact Check unit, in a statement posted on social media, dismissed the report and cited data published by the RBI.
According to @RBI, the share of gold in India’s foreign exchange reserves rose from 13.92% at end-September 2025 to 16.70% on March 31, 2026, and further to 16.85% as of May 22, 2026.
A news report published by @Bloomberg states that RBI may have sold gold amounting to approximately USD 12 billion.#PIBFactCheck
❌ This claim is FAKE
✔️ According to @RBI, the share of gold in India’s foreign exchange reserves rose from 13.92% at end-September 2025 to 16.70%… pic.twitter.com/eVjxPxEv1i
— PIB Fact Check (@PIBFactCheck) June 3, 2026
The RBI’s gold stock remains unchanged, the government said. The share of gold in India’s overall basket of reserves has in fact increased in recent months.
What Did The Bloomberg Analysis Claim?
The row stems from a Bloomberg Economics analysis of publicly available RBI reserve data. The report said the central bank might have dumped some $12 billion of gold in the two weeks to May 22, 2026.
The analysis argued that the reported level of RBI’s bullion reserves had come down despite higher import duties on gold and higher global prices of the precious metal. The report said such a divergence could be a sign that the central bank had sold some of its gold holdings.
The possible shift was reportedly linked to efforts to protect India’s foreign currency reserves in the wake of a weaker rupee, continuing foreign capital outflows and rising crude oil prices owing to geopolitical tensions in West Asia, said Bloomberg Economics.
RBI Data Contradicts Bloomberg’s Analysis
The government’s counterargument rests on what the RBI itself has disclosed about its reserves. Official data shows gold’s share in India’s foreign exchange reserves rose to 16.85% as of May 22, 2026, from 16.70% on March 31, 2026, and 13.92% at the end of September 2025.
The RBI also publishes details of its physical gold holdings in its Monthly Bulletin. PIB says those numbers haven’t changed, which goes against suggestions that the central bank had sold off lots of bullion.
Why Gold Holdings Matter
Gold is a major component of India’s foreign exchange reserves and provides a cushion during financial uncertainties. Central banks sometimes add gold to their reserves to diversify their assets and lessen reliance on any one currency.
Global markets sensitive to oil prices, geopolitical developments and currency moves may watch closely for any hint of a shift in the RBI’s reserve strategy. But the latest clarification is that India’s gold reserves remain intact, and there is no official data to back reports of a $12 billion gold sale.
Fact Check: RBI’s Gold Share In Forex Reserves Hasn’t Fallen, But Risen
The government has categorically denied allegations that the RBI sold $12 billion worth of gold to defend India’s foreign exchange reserves. Bloomberg Economics analysis had pointed to possible bullion sales based on trends in reserve data. But the PIB Fact Check has called the claim false and pointed to RBI data showing that the share of gold in the country’s reserves is rising. Official data as of now shows that there is no change in the RBI’s gold holdings.
Also Read: India Has Gold Worth Rs 361 Lakh Crore Stored In Temples, Vaults And Homes; Can It Be Reused?
Priyanka Roshan is a business writer and assistant editor at the NewsX website who tracks everything from stock market swings and corporate earnings to personal finance trends and policy shifts. Known for turning fast-moving business developments into sharp, reader-friendly stories, she combines speed, accuracy, and a data-driven approach to break down complex financial news for everyday audiences.
With over 9.5 years of newsroom experience, Priyanka has worked with leading media organisations, including Moneycontrol, Times Now, and Ping Digital, covering diverse beats such as business, politics, technology, auto, travel, sports, and the world. From live breaking news desks to SEO-led digital storytelling, she specialises in creating engaging content that keeps readers informed without overwhelming them.
