Story perspectives

India's Silver Market Faces Liquidity Crisis Amid Festive Demand

10/20/2025

Summary

Story summary

India's silver market faces a historic liquidity crisis amid unprecedented festive-season demand.
Borrowing costs have risen to 200%, complicating inventory acquisition.
Major refineries such as MMTC-Pamp have run out of stock due to the buying frenzy by international investors.
Experts attribute the surge to social media influencers promoting silver as a lucrative investment, especially as gold prices rise.
Experts predict stabilization after Diwali and emphasize the need for improved supply-chain management.

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Story summary

India's silver market faces a historic liquidity crisis amid unprecedented festive-season demand.
Borrowing costs have risen to 200%, complicating inventory acquisition.
Major refineries such as MMTC-Pamp have run out of stock due to the buying frenzy by international investors.
Experts attribute the surge to social media influencers promoting silver as a lucrative investment, especially as gold prices rise.
Experts predict stabilization after Diwali and emphasize the need for improved supply-chain management.