RBI trims US treasury holding to below $200 bn amid gold rush

Core Insights - India's gold reserves decreased to $190 billion at the end of October 2025, down by $50.7 billion compared to the previous year [1] - The Reserve Bank of India's (RBI) gold holdings increased to 880.18 metric tonnes from 866.8 metric tonnes year-on-year [1] - Forex reserves remained stable around $685 billion during the same period [2] Gold Reserves and Forex Composition - Gold constituted 13.6% of RBI's forex reserves as of September 26, up from 9.3% a year ago [6] - The total investments by central banks in US Treasury bills reached $9.24 trillion at the end of October 2025, with Japan being the largest holder at $1.2 trillion [8] Strategic Shifts in Reserve Management - RBI's holdings in US Treasuries fell below $200 billion, indicating a strategic shift towards diversifying reserves by increasing gold purchases [1] - Global central banks are adding gold to their reserves as a safe haven amid economic uncertainty, despite rising gold prices [7] - Rising fiscal pressures in advanced economies have led to increased global bond yields, prompting central banks, including RBI, to reduce exposure to US Treasuries [7]