Number of the week: 23 per cent

Business Standard
9th January

23 per cent: The price of gold jumped 23 per cent in 2019, the most in the last eight years.

  • The reasons behind this jump were reduced supply and continuous buying by central banks.
  • Apart from this, worsening geo-political tensions and the trade war between US and China saw the metal gain.
  • However, consumer's appetite for gold was restricted to an extent due to the rupee's weakness against the dollar, which increased the cost of gold imports.
  • In its recent report, Goldman Sachs forecasts gold to reach $1,600 in 2020. However, not all agree, expecting US-China trade tensions to ease.
  • Gold prices edged higher in India on January 3, on the MCX. February gold was up 0.25 per cent to Rs 39,165 per 10 grams.

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A few links for further reading

Invest and emigrate

The great Indian dream of settling abroad is achievable if one has a few crores to invest. Rich nations offer a variety of investment options in a quid pro quo arrangement: immigrants get a better quality of life and revenue from them helps these countries’ finances. Wealthy Indians, troubled by polluted cities and the red tape holding up entrepreneurship, may want a quick ticket out of the country. Sanjay Kumar Singh lists a range of options: from a Canadian province’s investor programme to America’s US EB-5 plan.

Small savings schemes

Investors in small savings schemes breathed a sigh of relief when the government announced on October 1 that interest rates on these instruments would not be revised for the fourth quarter of the calendar year. With the economy witnessing a slowdown, and the stock markets also turning volatile, many investors are looking for alternative avenues to park their savings. Small savings schemes, with their sovereign guarantee, have emerged as a viable alternative.

Hard path to growth

The signals for the economy are not positive: overall demand is yet to pick up; the share of total exports in India’s GDP is declining, and industrial output pattern remains worrying.

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