All India Gem & Jewellery Domestic Council (GJC) organised first of its kind one-day Gems and Jewellery Banking Summit presented by the World Gold Council presented at Jio World Convention Centre, Bandra Kurla Complex, Mumbai, on the 18th May 2024.
The Summit was attended by leading Indian government and private bankers engaged directly or indirectly in the gold financing business. The Summit was powered by Yes Bank, Shree Kunj, Kolkata, and supported by Bangalore Refinery, Mukti Gold and Diamond, and Laxmi Diamonds India Ltd.
More than 200 delegates participated in the summit, with experts discussing the financing needs of the industry for a comprehensive growth of the entire value chain from bullion dealers to karigars, craftsman, manufacturers, wholesalers, and retailers. Speakers also deliberated about the risk management facilities available for Indian jewellers, and challenges being faced by the industry for future growth. The Summit Consisted of Four Panels.
Recognising its potential for growth and value addition, the government has declared the gems and jewellery sector as focussed area and introduced two suitable policies: Hallmarking for Accuracy Determination, and the Gold Monetization Scheme (GMS), which enables individuals to deposit gold with banks and earn interest.
Saiyam Mehra, Chairman of All India Gem & Jewellery Domestic Council, stated, “The industry is facing challenges such as higher interest rates on business loans, lack of transparency on banking policy, and limited access to bank loans. Infusion of more funds into the gems and jewellery industry has become a matter of prime concern as banks have categorized this sector as high risk, leading to a drop in loan take-offs. The government has implemented measures to encourage investment strategy, and promoted Brand India in the global market.”
Ravi Prakash Agarwal, Convenor of the Bank Summit, informed, “We are delighted that the who’s who in the banking sector have recognised the challenges being faced by jewellers, and enormous opportunity available for bankers for lending to this sector. With NPA having less than 1%, we urge bankers to extend funding aggressively for both entrepreneurs and existing businesses.”
