File pic
Chennai:
Finance Minister P Chidambaram's appeal asking people to not buy gold seems to have very few takers. The Finance Minister had explained India does not produce gold and import of the yellow metal only increases the outflow of foreign currency.
At a popular gold shop in Chennai, Kotteswari, a housewife is busy selecting a necklace. Like most Indians gold is her favourite investment as the returns are among the highest.
"Look at the price of gold five years back. It was just half of what it is now. And people will buy gold definitely if there is a need," she tells NDTV.
That's the sense many gold shoppers share. Priya, an IT professional, has decided to double her monthly chit contribution to buy gold jewellery as the price has fallen.
"We are scared of stock market and have not got into mutual fund culture. Land price is unimaginablly high in Chennai. So regular buying of gold is a small but steady asset building for us," she says.
However in another part of Chennai, Swapna Sundar, CEO, IP Dome, finds sense in Mr Chidambaram's appeal and is willing to put her plans to purchase the yellow metal on hold.
Swapna believes this could help strengthen the rupee against the US dollar and her savings too would remain within the Indian economy.
"With this huge gold import bills look at the other side, we would have to pay more for our fuel, food, transport etc and whatever we save as gold price appreciation get neutralised as we have to pay more," she says.
Traders say sale of gold has not seen any slump this season. However well-meaning, clearly the Finance Minister seems to be in a minority; both online and on the ground.
At a popular gold shop in Chennai, Kotteswari, a housewife is busy selecting a necklace. Like most Indians gold is her favourite investment as the returns are among the highest.
"Look at the price of gold five years back. It was just half of what it is now. And people will buy gold definitely if there is a need," she tells NDTV.
That's the sense many gold shoppers share. Priya, an IT professional, has decided to double her monthly chit contribution to buy gold jewellery as the price has fallen.
"We are scared of stock market and have not got into mutual fund culture. Land price is unimaginablly high in Chennai. So regular buying of gold is a small but steady asset building for us," she says.
However in another part of Chennai, Swapna Sundar, CEO, IP Dome, finds sense in Mr Chidambaram's appeal and is willing to put her plans to purchase the yellow metal on hold.
Swapna believes this could help strengthen the rupee against the US dollar and her savings too would remain within the Indian economy.
"With this huge gold import bills look at the other side, we would have to pay more for our fuel, food, transport etc and whatever we save as gold price appreciation get neutralised as we have to pay more," she says.
Traders say sale of gold has not seen any slump this season. However well-meaning, clearly the Finance Minister seems to be in a minority; both online and on the ground.
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