First Time In History of India You Can Keep Silver in a Bank for a Loan in India

Silver joins gold in india's banking system – TO TAKE EFFECT IN APRIL, 2026...... R BI

- 

With silver prices soaring in 2025, RBI's new rules clarify its use for loans. Experts say this boosts transparency and benefits borrowers. The new system starts on April 1, 2026.

RBI had laid down guidelines for lending against loans on silver, which must be followed by April 01, 2026. Silver will soon join gold as an accepted collateral for loans under the RBI's new standardized lending guidelines, which all regulated lenders must follow from April 1, 2026.

India has taken a historic step toward the remonetization of silver — officially allowing the white metal to serve as collateral for bank and non-bank loans under new Reserve Bank of India (RBI) regulations set to take effect in April 2026. The move effectively establishes a 10-to-1 silver-to-gold ratio in collateral lending, marking the first time a major economy has formally recognized silver's role alongside gold in modern banking.

This regulation aims to standardize and formalize silver-backed lending, which has previously been limited to certain cooperative banks or informal lenders.

The policy applies to both banks and Non-Banking Financial Companies (NBFCs) — a sector that services millions of small borrowers — and introduces uniform valuation and documentation standards to ensure transparency.