Collaboration to strengthen market participation, enable physical-to-electronic gold convertibility and advance transparency and efficiency in India’s bullion market

Mumbai: BSE Ltd, Asia’s oldest stock exchange, has entered into an agreement with MMTC-PAMP India Private Limited, India’s only LBMA-accredited gold and silver good delivery refiner, to support the development, promotion and growth of Electronic Gold Receipts (EGRs) in India. The collaboration seeks to accelerate adoption of EGRs by strengthening market infrastructure, improving participation across the gold value chain and supporting the development of a transparent, exchange-traded gold ecosystem in India.

The partnership will focus on joint initiatives, stakeholder engagement, knowledge sharing and market development programmes designed to enhance efficiency, transparency, accessibility and orderly growth in India’s EGR market.

EGRs are SEBI-regulated, exchange-traded securities representing physical gold deposited in designated vaults. They enable investors to hold gold in dematerialised form in their demat accounts, with trading, clearing and settlement features similar to that of other securities available in India. India is among the world’s largest consumers and holders of gold. EGRs provide a regulated and transparent framework that enables gold ownership in dematerialised form while facilitating efficient trading, settlement, storage and transfer through market infrastructure institutions.

Under the partnership with MMTC-PAMP, BSE will facilitate the launch of EGR contracts in multiple denominations and support seamless conversion between physical gold and EGRs, subject to applicable laws and regulatory requirements. The exchange will also draw on MMTC-PAMP’s expertise in bullion refining, assaying, creation, redemption, delivery and related EGR processes to deepen market participation through its trading platform and ecosystem initiatives.

Commenting on the partnership, Mr. Sundararaman Ramamurthy, MD & CEO, BSE, said, “Electronic Gold Receipts (EGRs) represent a crucial step toward building a modern, transparent, and efficient gold ecosystem in India, bridging the gap between physical and financial markets. As the pioneer in introducing EGRs, BSE is dedicated to fostering a trusted, regulated marketplace. Through our collaboration with MMTC-PAMP, we aim to enhance accessibility, deepen liquidity, and encourage the financialization and recycling of domestic gold. Over time, a vibrant EGR ecosystem will strengthen domestic price discovery and elevate India’s position as a global bullion trading hub.”

Mr. Samit Guha, MD & CEO, MMTC-PAMP India Private Limited, said, “India is one of the world’s largest consumers of gold, and Electronic Gold Receipts have the potential to transform how gold is owned, traded and monetized. By combining the assurance of physical gold with the efficiency of exchange-based trading, EGRs can unlock substantial value for investors and the broader bullion ecosystem. Through our partnership with BSE, we aim to leverage our refining expertise, quality assurance capabilities and industry network to accelerate EGR creation, broaden market adoption and enhance

liquidity across the country. This initiative represents an important milestone in building a more transparent, efficient and globally competitive gold market for India. At MMTC PAMP, we are committed to deploying our integrated capabilities and ecosystem to support the growth and scale of EGR market in India.”

BSE Ltd was the first exchange in India to launch trading in Electronic Gold Receipts (EGRs). The exchange currently offers EGRs in trading units of 100 mg, 1 gram and 10 grams, with fineness of 999 and 995.

The BSE EGR platform serves as a unified, regulated ecosystem, connecting vault managers, depositors, investors, jewellers, refiners, and traders across the entire gold value chain. Through its EGR platform, BSE aims to bridge the physical and financial gold markets by offering investors a secure, transparent and exchange-regulated avenue for gold ownership and trading. The platform also supports greater standardization, price transparency and market efficiency across the bullion ecosystem.

This initiative is aligned with India’s vision to:

  • Promote the financialization and recycling of gold, helping mobilize domestically held gold and potentially reduce India’s dependence on gold imports.
  • Encourage migration from informal to regulated markets, creating a more organized, trusted and efficient gold ecosystem.
  • Enhance transparency, traceability and integrity across the gold value chain through a regulated exchange-based framework.
  • Strengthen domestic price discovery and support India’s ambition to emerge as a leading global bullion trading hub with a greater role in global gold price formation, rather than remaining predominantly a price taker.
  • Improve investor access to gold ownership through a transparent, regulated and exchange-traded framework.

BSE aims at broadening participation in the EGR segment by building market awareness, strengthening ecosystem partnerships and enabling smoother convertibility between physical and electronic gold. The exchange continues to work with vault managers, depositories and clearing corporations to support wider adoption and reinforce India’s formal gold market infrastructure.