Fact Check: Did RBI Sell Gold Worth $12 Billion To Protect India’s Foreign Exchange Reserves?

Claim

Several reports and social media posts claimed that the Reserve Bank of India (RBI) sold gold worth approximately $12 billion to protect India’s foreign exchange reserves amid tensions in West Asia.

Verdict: False

The claim is false. The Government of India, through the Press Information Bureau (PIB) Fact Check unit, has clarified that the RBI did not sell gold worth $12 billion. Official RBI data shows that the share of gold in India’s foreign exchange reserves has increased over the past several months.

What Is The Claim?

A report suggested that the Reserve Bank of India may have reduced part of its gold holdings to shield the country’s foreign exchange reserves from potential market volatility arising from geopolitical developments in West Asia. Following the report, claims circulated online alleging that the RBI had sold approximately $12 billion worth of gold reserves.

Investigation

To verify the claim, we reviewed the clarification issued by the PIB Fact Check unit and examined the reserve data cited by the RBI.

PIB Rejects The Claim

On June 3, 2026, the PIB Fact Check unit dismissed reports suggesting that the RBI sold gold worth $12 billion.

According to the PIB, official RBI figures do not support the claim.

The government stated:

“According to RBI, the share of gold in India’s foreign exchange reserves rose from 13.92% at end-September 2025 to 16.70% on March 31, 2026, and further to 16.85% as of May 22, 2026.”

RBI Data Shows Gold Share Increased

The RBI data cited by the PIB indicates:

• Gold accounted for 13.92% of India’s foreign exchange reserves in September 2025.
• The share increased to 16.70% by March 31, 2026.
• It further rose to 16.85% by May 22, 2026.

If the RBI had sold a substantial portion of its gold holdings, the share of gold within India’s reserves would generally be expected to decline. Instead, the figures show the opposite trend.

No Evidence Of A $12 Billion Gold Sale

We found no official RBI announcement, government notification, or credible evidence confirming that the central bank sold gold worth $12 billion. The available reserve data contradicts the viral claim.

Conclusion

The claim that the Reserve Bank of India sold gold worth $12 billion to protect India’s foreign exchange reserves is false. Official data cited by the PIB Fact Check unit shows that the share of gold in India’s foreign exchange reserves increased from 13.92% in September 2025 to 16.85% in May 2026. No evidence supports the allegation that the RBI sold $12 billion worth of gold.