NSE partners with Augmont to expand Electronic Gold Receipts market in India

National Stock Exchange (NSE) on July 15 announced a strategic collaboration with Augmont Enterprises to support the development of India’s Electronic Gold Receipts (EGR) ecosystem, an exchange-regulated framework for trading physical gold in dematerialised form.

Under the collaboration, Augmont will support EGR creation, redemption, liquidity provision, delivery and price discovery. The two organisations said they aim to increase participation in the EGR market and improve liquidity for investors, jewellers and other participants.

NSE launched Electronic Gold Receipts on May 4.

The instrument allows physical gold to be converted into exchange-traded securities that are held in investors’ demat accounts. EGRs can be traded on the exchange, redeemed for physical gold and used for gold lending through the exchange framework.

According to NSE, India holds an estimated 30,000-35,000 tonnes of gold in private ownership. The exchange said EGRs provide a regulated mechanism for investors to hold, trade, pledge, redeem and lend gold through the formal financial system.

The exchange also said EGR holders can lend their gold to jewellery manufacturers through the Securities Lending and Borrowing (SLB) mechanism while retaining ownership and exposure to gold prices.

NSE noted that a deeper domestic EGR market could help mobilise idle gold and reduce dependence on imported bullion over time. India’s gold imports stood at about $71.98 billion in FY26, according to the exchange.

Commenting on the partnership, Sriram Krishnan, Chief Business Development Officer at NSE, said wider participation from refiners and liquidity providers would help build a more transparent and efficient exchange-regulated bullion market.

Ketan Kothari, Director at Augmont Enterprises, said the company would use its gold ecosystem to support EGR creation, liquidity and adoption.

Surendra Mehta, National Secretary of the India Bullion and Jewellers Association (IBJA) said exchange-traded Electronic Gold Receipts could improve price discovery, settlement efficiency and access to gold lending for the jewellery industry.

The collaboration comes less than three months after NSE introduced Electronic Gold Receipts as part of its efforts to develop an organised, exchange-regulated spot gold market in India.