Govt raises import duty on gold to 15% from 10.75% to curtail CAD

Last year, the government had cut the tax on gold imports to 7.5% in the Union Budget

India has raised its basic import duty on gold to 15 per cent from 10.75 per cent, the government said in a notification on Friday, as the world's second-biggest consumer of the precious metal tries to dampen its demand.

India fulfills most of its gold demand through imports, which were putting pressure on the rupee which hit a record low earlier this week.

A recent report said, the central government has become vigilant as the trade deficit in May hit a record high of $24.3 billion. The Centre is closely scrutinising imports, especially gold, amid concerns over rising in the