TIOL-DDT 1229 · Wednesday, 4 November 2009 · story 3 of 5

1991 humiliation reversed - RBI buys 200 MTs of Gold

Remember the humiliation of 1991, when we had to pledge about 40 MTs of gold with the Bank of England to temporarily pass over a foreign exchange crunch crisis? Now we can all be proud – the Reserve bank of India has just bought 200 MTs of gold from the IMF. Even the FM said it has a sentimental value. RBI says that this was part of the Reserve Bank's foreign exchange reserves management operations.