India Gold ETF Sees Slowing Inflows in February, Totalling $565 Million

India's Gold ETFs Record Net Inflows of $565 Million in February

Key Highlights:

• $565 million in net inflows for India's gold ETFs in February, a 77% drop from the previous month
• 8 consecutive months of inflows for India's gold ETFs
• Growing interest in gold investment products supported by Securities and Exchange Board of India's overhaul of the mutual fund scheme categorisation framework

Global Gold ETF Demand

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• Global gold ETF demand remained supported by elevated geopolitical risks and shifting macroeconomic conditions
• Total global holdings rose by 26 tonnes to a new all-time high of 4,171 tonnes
• Global assets under management rose to a record $701 billion

Regional Breakdown

• North America recorded inflows of $4.69 billion in February, down 31% from $6.79 billion in January
• Europe saw outflows of $1.79 billion, largely due to heavy early-month redemptions linked to the late-January selloff in precious metals
• Asia collected $2.35 billion, down 75.6% from $9.63 billion in January

Global Inflows

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• Global inflows were supported by several factors including:
  • Heightened geopolitical risks, particularly involving Iran
  • A more favourable opportunity cost for holding gold amid dollar weakness and lower interest rates
  • Continued trade and policy uncertainty
  • Concerns in equity markets

India's Gold ETF Inflows by Year

• 2026: $3.06 billion
• 2025: $4.69 billion
• 2024: $1.29 billion
• 2023: $310 million
• 2022: $33 million