For generations, gold has occupied a unique place in Indian households — not just as jewellery or tradition, but as a core store of wealth. That preference is now visible in stark numbers.
According to estimates, Indian households collectively hold around 34,600 tonnes of gold, which at current global prices translates into a value of approximately $5.8 trillion. This figure is now higher than the total market capitalisation of Indian equities, which stands at around $5.1 trillion.
The comparison highlights how deeply gold is embedded in India’s household balance sheets. While India’s equity markets have expanded rapidly over the past decade, household wealth remains heavily skewed towards physical assets, particularly gold. For many families, gold serves as long-term savings, emergency liquidity, and a hedge against inflation, currency weakness, and financial uncertainty.
The surge in global gold prices has further amplified this divergence. Rising geopolitical tensions, concerns over global debt, aggressive trade policies, and central bank buying have pushed gold to record highs, significantly boosting the value of existing household holdings without any fresh purchases.
In contrast, equity ownership in India remains concentrated among a smaller section of the population. Despite rising demat accounts and growing participation through mutual funds, equities have yet to replace gold as the dominant household asset.
The numbers underline a broader reality: while financialisation of savings is increasing, gold continues to rival — and now exceed — equities as the single largest store of wealth for Indian households, reinforcing its role as the backbone of household balance sheets in times of uncertainty.
