| This year the Indian Government raised import duties as high as 15% on gold. India then prevented the import of gold unless 20% of that gold was exported. What impact has this had?
The stated aim of these measures was not to interfere with the price of gold, but to reduce the Current Account Deficit. We know that these measures will only work in the short-term because smuggling will replace the import deficit of gold and the government will have to bow to pressure from the voting public ahead of May elections...............................................Full Article: Source
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