India has discontinued the Medium- and Long-Term Government Deposits under its Gold Monetisation Scheme (GMS), effective March 26, 2025. The scheme, launched in 2015, encouraged households and institutions to deposit idle gold in exchange for interest payments.
While the Short-Term Bank Deposits (1-3 years) will continue, the government cited a review of market conditions for ending the longer-term options. Existing deposits will remain until maturity.
This decision aims to reduce future government obligations, especially amid rising gold prices and economic uncertainties.
