The gold deposit scheme launched by Prime Minister Narendra Modi has so far attracted only 400 gms out of an estimated national hoard of more than 20,000 tonnes, Reuters reported. Two weeks ago, Modi had announced the scheme urging Indians to deposit the gold in banks, offering rates of interest that earlier schemes lacked, and even launched gold-backed bonds. Anil Sankhwal, northern regional chairman of India’s Gem and Jewellery Export Promotion Council said that the government would review the scheme and open more centres to test gold and make gold deposits.

Currently 29 testing centres and four refineries support the scheme, but there will be 50 testing centres and 20 refineries by the end of the year. Experts say Indians’ attachment to the metal will make it a challenge to put the new scheme to work and support the financial system as well as promote economic growth as envisioned.