Do not buy gold!

We Indians are known to have special liking for gold. The luster of this yellow metal seems to have a never ending hypnotic effect on us Indians, especially the women who never seem to get bored of it! Even men are attracted to it; for instance - Bappi da- the musician- whom you might have never seen without a kilo of it on his body. Many of our cricketers love to show off their heavy yellow metal chains – while bowling to the opposition – as if to demorallise them more by their heavy gold chains, rather than by their bowling strength. Lure of gold has known to ruin many a homes and lives, but despite living in the spiritual India - we as an Indian have been always blinded by its  ‘chamak-damak’. It is time to say goodbye to it and learn to live.

It reminds me about a story, probably from the collection of Panchatantra, in which a man was always worried about the safety of his riches and he always spent his nights tossing on the bed – fearing that someone would take away all his valuables. One of his trusted friend suggested him to exchange all his  riches with gold bars – so that it would become manageable for him to stock and keep a vigil. He did so and hid it in his home, but the worry that someone would steal all his life time earnings -kept him awake. It continued for more than a week. Then he called his trusted friend and told him about his problem of insecurity. This time his friend suggested him to carry all his gold bars to the jungle and burry it there and to ensure that no one sees him doing it. He asked him not to disclose it to anyone – to ensure that the gold remains safe and secured in the jungle. In the dead of night he bundled all his gold bars in a packet and left for jungle, hid the packet under a tree returned relieved. He had sound sleep after a long time, for a few nights. After a while he thought of checking the gold bar packet, he made a round of the spot and came relieved on seeing that – the earth under the tree was not disturbed by anyone. He would then occasionally visit the jungle and glance through the area to ensure that no one dug it out. Months passed. One fine morning during one of his visits to the spot, he found that the earth has been dug out and the gold packet has been removed. He returned home, shocked and shattered – but he didn’t disclose it to anyone. A few days later, his trusted friend visited him who was shocked to see his poor health and know the loss of his riches. The friend gave him solace and asked him not to worry. The friend requested the man to take him to the spot to recheck it. They reached the spot and to ensure about the gold bars, they dug here and there – but found nothing -the gold bars were not there. The man was inconsolable now. The trusted friend asked him a few questions – like what was the size of the packet, what was the weight of the packet, etc. Next day the friend returned to the spot with a packet in his hand and the man following him. He asked the man to fill the box with stones lying there. Upon filling the box with stones, he sealed the box and hid it at the same spot. The friend turned to the man, there lies your gold – buried like before, be relaxed and live happily now! The man looked perplexed. The friend put his hands over his shoulders and asked him to imagine that the packet buried by them is full of gold. He said that the gold that was earlier buried there for months together was actually of no use to him, as all these months he didn’t need it for any of his requirements and would not require it in future too. It had no actual value to him and hence it was worthless. The friend asked him to imagine that the stones that were now buried by them is pure gold – and not to fear anymore for its theft. It changed the life of the man, who lived happily thereafter.

I have narrated this story just to give an analogy – of the buried gold bars particularly with bank lockers that one keeps and maintains to store all kind of gold jewelry accumulated with all the hard work – which keeps lying there for years and years – does it make any sense to hoard the gold mindlessly!  Why not put your money to a more productive use? It is said that flow is life, same is true for money – let it flow in the form of donations, service, education, business and anything that benefits the society. And anything that benefits the society, benefits you!

Coming to Indian economics on import of gold - Gold’s share in total import bill of the country has gone up from 8.1 per cent in 2001-02 to 9.6 per cent in 2010-11. In value terms, it has risen from US $ 4170.4 million in 2001-02 to US $ 33875.7 million in 2010-11. A growth rate of 63.5 percent is witnessed for the period 2008-09 to 2010-11. During the same period the Petroleum, Crude and products – occupying the numero uno position in terms of share of import bill has marginally declined from 31.0% to 30.1%. Import bill of gold is certainly weighing us down.

Concern of the government, expressed by Finance Minister Mr. P. Chidambaram in urging the people to not buy gold for one year and that gold is not the safest investment is worth noting. I can’t say about the safe investments, but certainly let us not waste and block our hard earned money in buying and hoarding gold.

Let our money flow, let it have life, let it make lives!