Spend on expensive art works, gold all set to surge amid pent-up demand

Indians’ love for gold accentuated owing to a huge pent up demand after the second Covid wave. And, widening income distribution because of the lockdowns is likely to result in a huge jump in purchase of valuables in the current financial year. Valuables comprise gold, precious stones and expensive art works.

Indians are projected to spend 75 per cent more on valuables at Rs 2.95 trillion during FY22 even after adjusting for inflation, according to advance estimates (AE). This is not because of the low-base effect as people bought 2.4 per cent more valuables at Rs 1.67 trillion during the Covid