India's government has reportedly approved banks to import gold and silver. This move comes after previous policy inconsistencies led to precious metals being held up at customs, just days before a major Indian festival during which purchasing gold and silver is considered auspicious. A notice issued by the government on Friday included a list of banks authorized to import the precious metals. Surendra Mehta, National Secretary of the India Bullion and Jewellers Association, stated that the notification resolves the import blockage. Due to weak demand, gold prices in India have been under pressure. Reports had earlier indicated that Indian banks had paused new orders for gold and silver from overseas suppliers. With the government not issuing a formal import circular in time, over 5 tonnes of gold and approximately 8 tonnes of silver were stranded at customs. Madhavi Arora, an economist at Emkay Global Financial Services Ltd., suggested the situation did not appear intentional, stating it was "not any outright ban on gold, but just a temporary glitch and administrative delay." India is reported to be the world's second-largest consumer of gold and the biggest buyer of silver, relying almost entirely on imports to meet demand. Gold buying in India is closely linked to religious festivals and weddings. Festivals such as Akshaya Tritiya (April 19th) typically trigger a surge in gold demand as families purchase gold jewelry, coins, and bars for cultural and investment purposes. However, in recent months, high prices have dampened consumer interest, leading to a slowdown in India's gold consumption. According to the World Gold Council, India's gold consumption dropped to 710.9 tonnes in 2025, its lowest level in five years.