Life in the time of demonetisation: Rural gold hubs silent

Jewellers and bullion dealers in India are refraining from buying gold despite the dip in price, thwarted by subdued demand in rural areas due to the demonetisation-induced cash crunch.

Rural areas account for 60% of India's gold consumption, which has fallen after the government `s demonetisation move. Although there are signs of a gradual recovery in urban demand, the sentiment remains negative because of patchy buying in rural areas where purchases are in cash.

Life in the time of demonetisation: Rural gold hubs silent