Indians now buying more gold for investment than jewellery, says Malabar Group

Indian gold demand is undergoing a major change, with a growing share of buyers turning to gold as an investment rather than only as jewellery. According to Dileep Narayanan, Head of Bullion and Treasury at Malabar Group, nearly 20–30% of gold demand now comes from investment products such as coins and bars.“We’ve seen a big move toward investment demand, especially during the Diwali season,” Narayanan said. “People’s trust towards gold is increasing, and participation through digital gold and other platforms is also on the rise.” He noted that many price-sensitive buyers are now focusing more on quality and long-term value than short-term price dips, showing a “structural maturity” in Indian demand.

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Narayanan believes the global economic environment and geopolitical tensions are further driving this trend. He added that the strong faith in gold as a “safe haven” continues to underpin buying interest.Sharing his outlook, Narayanan said gold prices remain in an upward trend despite some temporary dips. “Gold is still on a bull run,” he said. “It will gradually increase, and from what I see in the market, gold will definitely go up in future.”He also shared insights from his participation at the LBMA Annual Precious Metals Conference held in Kyoto, Japan, where he represented Malabar Gold & Diamonds and the Indian bullion industry. “India continues to remain the heartbeat of global gold demand,” he said, adding that discussions at the event highlighted how reforms and digital transparency measures are strengthening India’s role in the bullion ecosystem.

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At the conference, Narayanan noted that market participants shared a wide range of gold price expectations for next year – from $4,800 to $6,000 per ounce – reflecting varied global outlooks. He said the event reinforced the growing global trust in India’s evolving bullion market.

For the full interview, watch the accompanying video

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