Summaries by Nitin Pai

India's high gold demand reflects deep-seated societal and institutional distrust, not merely culture, exacerbating current account deficits. Past government interventions to curb imports have largely failed as people bypass controls. The author suggests leveraging domestic gold stock through schemes or, fundamentally, strengthening social capital and becoming an export-oriented economy. Evidence shows a decline in per capita gold demand, possibly due to digital infrastructure and financial instruments. Greater transparency and accountability in governance are crucial to build trust, offering a long-term solution to this complex economic and social challenge.