Mains Paper 2: IR | Important International institutions, agencies & fora, their structure, mandate
From UPSC perspective, the following things are important:
Prelims level: WGC
Mains level: Effect of global trends on India’s gold trade
- Increased market uncertainty and expansion of protectionist economic policies will make gold increasingly attractive as a hedge in 2019, says the latest report by the World Gold Council (WGC).
- Since gold is considered a safe haven, during choppy markets, the demand for gold improves, normally.
- Emerging markets, led by India and China–the biggest consuming markets–make up 70% of consumer demand for the metal.
About World Gold Council
- The World Gold Council is an association whose members comprise the world’s leading gold mining companies.
- Headquartered in London United Kingdom, it has offices in India, China, Singapore, Japan and the United States.
- It helps to support its members to mine in a responsible way and developed the Conflict Free Gold Standard.
- It is the market development organisation for the gold industry.
- It works across all parts of the industry, from gold mining to investment, and their aim is to stimulate and sustain demand for gold.
- WGC frequently publish research that demonstrates gold’s strength as a preserver of wealth – both for investors and countries.
- WGC also provide analysis of the industry, offering insights into the drivers of gold demand. They have also launched various products such as SPDR GLD and gold accumulation plans in India and China.