The Government of India announced the Gold Monetisation Scheme (GMS) in 2015 under which the trusts of 2 major Hindu temples of Gujarat have invested the gold they get in donations from devotees and received a large amount of money for service and temple work. Somnath Jyotirlinga Temple Trust and Shaktipeeth Ambaji Temple Trust have invested 200 kg of gold under this GMS scheme.
According to reports, two major temples in Gujarat – Ambaji Temple and Somnath Temple – have deposited as much as 200 kg of gold in public sector banks under GMS in a short span of time. According to the current prices, this amounts to a gold deposit worth Rs 120.6 crore.
At this time, the price of gold in the Ahmedabad market is Rs 60,300 per 10 grams. Looking at the current trends, a senior executive of the public sector bank said that the government is encouraging temples to deposit the gold collected as donations under the Gold Monetisation Scheme in banks. This gives an interest rate of 2.25% per annum for medium-term deposits and 2.50% per annum for long-term deposits.
This is very beneficial for temples as they can redeem gold at the current market price. In addition, their deposits get matured and they get interest on these deposits. The largest chunk of the deposits made under GMS from Gujarat came from the Ambaji Temple Trust.
Ambaji Temple Trust deposited 168 kg of gold and Somnath Temple Trust deposited 6 kg of gold
The largest chunk of the gold deposits made under GMS from Gujarat came from the Ambaji Temple Trust. Banaskantha district collector and trustee Varun Kumar Barnwal said, “Ambaji temple has deposited 168 kg of gold in three phases. This includes 96 kg and 23 kg in two phases.”
Somnath temple has also deposited six kg of gold under GMS. P K Laheri, a trustee of Shri Somnath Trust, said, “About 150 kg of gold has been melted and used for plating and decorating the Shikhar of Somnath temple. The temple trust has recently deposited around 6 kg of gold under GMS.”
Whatever amount the two temple trusts have earned by investing gold is used by them for maintenance of the temple premises, social work, and service work.
Services done by The Somnath Temple Trust
The Somnath Trust has been doing environmental services, gau seva, food donation, and help charities associated with education and healthcare. Apart from this, modern living arrangements, rest houses, and free meal services are also run for the devotees. This amount will be used for all these service works.
Apart from this, whenever there has been a disaster, calamity or any hour of need comes to Gujarat, the Somnath Temple Trust comes forward and extends a helping hand.
Services done by Ambaji Temple Trust
Like the Somnath Temple Trust, the Ambaji Temple Trust has also been working in many areas of social service where this amount will be used. Since 1991, a college is being run by The Shri Arasuri Ambaji Mata Devasthan Trust. This institute is called Shri Ambaji Arts College. Along with this, a modern library has also been built there.
A 200-bed modern hospital is also run by the Shri Arasuri Ambaji Mata Devasthan Trust. Apart from treatment, there is also a pathology lab, X-ray clinic, maternity home, female and male patient wards, and operation theatre.
Apart from this, many other services are also done by Ambaji Trust. For example, rest houses are run for pilgrims, free meals are provided, and frequently open-handed assistance is provided whenever there is any natural calamity in the state.
What is Gold Monetisation Scheme (GMS)?
The gold monetization scheme was launched by Prime Minister Narendra Modi on September 15, 2015. This scheme has been designed to help people receive interest on their unused gold lying idle in the bank locker. The Gold Monetisation Scheme is basically a new deposit tool to ensure the aggregation of gold held by various households and institutions in India. It is expected that the scheme will turn gold into a productive asset in India. This new Gold Scheme is a replacement of the old Gold Deposit Scheme (GDS) and Gold Metal Loan Scheme (GML) and has replaced the previous Gold Deposit Scheme, 1999.
Investors can deposit gold for the short, medium and long term under the Gold Monetisation Scheme (GMS). The scheme allows the investor to deposit gold in short-term bank deposits (SRBDs) and medium and long-term government deposits (MLTGDs).
Short Term Bank Deposit (STBD)
Allows tenure from one to three years
Allows interim tenure such as one year three months, two years four months, etc.
The lock-in period and penalty will be decided by the designated banks
Banks are free to decide the interest rate on these deposits
Medium and Long Term Government Deposits (MLTGD)
- The bank appointed on behalf of the central government will accept deposits under this scheme
- The maturity period is five to seven years for the medium term and 12 to 15 years for the long term
- Interest rates 2.25% p.a. for the medium term and 2.50% p.a. for the long term
- The interest on the deposit will be paid on March 31 every year
- The lock-in periods on these deposit schemes are three years and five years respectively
Who can invest under GMS?
Individuals
Hindu Undivided Family (HUF)
Companies
Charitable Organizations
Ownership and Partnership Firms
Any trust including mutual funds or exchange-traded funds
Central Government
State Government
Other central or state government-owned institutions
More benefits under GMS than putting gold in the locker
If an individual or organization puts the gold in the bank locker, then it does not get any interest. At the same time, no dividend is paid on it. Apart from this, the investor also has to pay a charge for that locker.
On the contrary, if the same person or organization invests the same gold under this Gold Monetization Scheme (GMS), then he is eligible for the interest fixed on that gold and does not have to pay locker charges too.
