With an annual demand of approximately 800-900 tonnes, the size of the Indian gold market is second only to that of China. Despite its significant size and important global position, the Indian gold market is unable to realise its potential due to multiple challenges. These challenges include lack of quality assurance, weak price transparency and fragmented liquidity and regulatory issues. There is a pressing need to reform the gold trading market in India, and a spot exchange, encompassing a broad ecosystem for efficient physical trading of gold, could play a significant role in reforming the gold market in India.

This report outlines a vision for a gold spot exchange and its associated ecosystem, identifies key design elements, lists critical success factors (based on global examples), recognises potential benefits for entities across the value chain, the economy as a whole and sets forth a roadmap for multi-stakeholder collaboration to ensure successful design and launch of the exchange.