Source: Times

Gold prices in Pakistan continue to climb, with the yellow metal witnessing a significant hike on Thursday, November 21, 2024. According to the All Sindh Sarafa Jewellers Association, the price ofย 24-karat gold per tolaย increased byย Rs. 3,700, reachingย Rs. 278,000, up from Rs. 274,300 the previous day. Similarly, the price for 10 grams of 24-karat gold rose byย Rs. 3,172, bringing it to Rs. 238,340.

This surge aligns with a broader trend in theย international gold market, where prices increased byย $37 per ounce, reaching $2,668. The rise is attributed to global economic uncertainty, a weakening U.S. dollar, and speculation about the Federal Reserve’s interest rate policy.

A Continued Climb for Gold Prices

This recent jump follows months of escalating gold prices in Pakistan. In October, the metal reached a record-breakingย Rs. 287,900 per tola, marking an all-time high. Local factors, including a depreciating Pakistani rupee and inflationary pressures, have compounded the effects of international market trends.

Gold prices in Pakistan witness marginal drop in line with global market - Pakistan Observer
Source: Pak Observer

Theย 22-karat goldย rate also experienced an increase, with 10 grams rising toย Rs. 218,479ย from Rs. 215,570. Meanwhile,ย silver pricesย saw a modest rise, with per tola silver reachingย Rs. 3,450, an increase of Rs. 200.

Read More:ย Pakistan to Convert 30% Vehicles to Electric by 2030

Gold Imports Show Growth

Despite soaring prices,ย gold imports have surgedย in Pakistan. Data from the Pakistan Bureau of Statistics (PBS) reveals aย 19.82% increase in gold importsย during the first four months of the current fiscal year, reaching $10.644 million compared to $8.883 million in the same period last year.

In terms of quantity, 148 kilograms of gold were imported fromย July to October 2024, up from 138 kilograms during the same period in 2023, reflecting aย 6.94% increase. However, on a month-to-month basis, October 2024 saw aย 54.63% declineย in gold imports compared to September 2024, likely due to volatile prices.

Whatโ€™s Driving the Demand?

Gold has traditionally been a safe-haven investment in Pakistan, particularly during economic uncertainty. As inflation and currency devaluation erode purchasing power, investors and households turn to gold as a hedge against financial instability.

Gold Rate in Pakistan Falls Marginally But Hovers Near Record High
Source: Neuter

Looking Ahead

With global market dynamics in flux and domestic economic challenges persisting, gold prices in Pakistan are expected to remain high. For now, the surge reflects both international market influences and local economic conditions, further solidifying goldโ€™s status as a valuable, albeit costly, asset.

Stay tuned to Brandsynarioย for the latest news and updates

Usman Kashmirwala
Your thoughts are your biggest asset in this world and as a content writer, you get a chance to pen down these thoughts and make them eternal. I am Usman Kashmirwala, apart from being a movie maniac, car geek and a secret singer, I am a guy lucky enough to be working in a profession that allows me to showcase my opinions and vision to the world every day and do my little part in making it a better place for all of us.