NSE to operationalise EGR soon
The National Stock Exchange (NSE) is preparing to operationalize Electronic Gold Receipts (EGR) within the next week or ten days. This initiative aims to digitize gold holdings and encourage the formalization of gold savings.
Why it matters
Digitizing gold assets could unlock significant value from private and temple-held gold reserves, impacting the broader financial market.
The National Stock Exchange (NSE) is in the preparatory stage to operationalise Electronic Gold Receipt (EGR) and it will be completed in a week to 10 days, said the Chief Business Development Officer of NSE Sriram Krishnan. The NSE launched the EGR on May 4 and it will be available in five denominations each for 995 and 999 purity gold. There is a request for two more denominations in both and it will incorporated. Jewellers are of the view that the EGR will give them opportunities to expand business significantly, he said. It is estimated that about 25,000 tonnes of gold is with the people are savings or jewellery and another 25,000 tonnes is with temples. Even if 200 tonnes can be brough out in the first year of EGR, it will be a major step, Mr. Krishnan added.
The article provides factual information regarding financial infrastructure development without taking a stance.
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