New Delhi, May 13 -- Gold exchange-traded funds (ETFs) emerged among the top gainers in the Indian stock market today, closing up to 6.5% higher after the government announced a hike in the import duty on gold and silver effective 13 May.

The government sharply raised import tariffs on gold and silver to 15% from 6% on Wednesday, as it looked to curb non-essential imports and conserve foreign exchange reserves strained by higher oil and fertiliser purchases amid the conflict in West Asia.

The hike follows an appeal by Prime Minister Narendra Modi to defer gold purchases alongside unnecessary foreign travel for a year and conserve fuel in order to help the Indian rupee, which remains in a freefall amid weakening macros and relentless for...