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Strategies & Market Trends : Dino's Bar & Grill -- Ignore unavailable to you. Want to Upgrade?

To: Goose94 who wrote (11725)	2/19/2015 8:48:41 AM
From: Goose94	Read Replies (1) \| Respond to of 203330

RBI lifts ban on import of gold coins, medallions by banks press release merely stated that RBI is going back to pre-July 2013 situation where nominated banks can import gold purely by showing delivery and they do not have to show any end-use. The Reserve Bank of India lifted ban on import of gold coins and medallions by banks and trading houses. RBI also stated that banks are permitted to import gold on consignment basis.The Reserve Bank of India (RBI) had imposed restrictions on banks and companies importing gold. They had to export 20 percent before they imported 80 percent of the gold. All those restrictions were removed in November. According to the RBI, they had pushed back the situation to before 80:20 rule but that was not very clear and customs in particular objected when banks tried to import gold. So to remove all doubts, Wednesday’s press release merely stated that we are going back to the pre-July 2013 situation where nominated banks can import gold purely by showing delivery and they do not have to show any end-use. They can also lend that gold as a loan to gold companies and not only banks even star trading houses and other export houses which had originally the right to import gold can also import gold. What is not included here is that nominated agencies like MMTC may not be able to do so – that category is left out but otherwise now the situation is entirely back to the pre-June 2013 time, so gold on lease which companies like Titan use to resort to, is now possible. There was a procedural or a comprehension hitch from November to now, which has been removed. So it is actually a procedural ease, but there is a bit of a financial ease as well as there is no need to give working capital in advance. moneycontrol.com