Gold prices across Pakistan have skyrocketed, setting new records in the local bullion markets. The All Pakistan Gems and Jewellers Association (APGJA) announced that the price of gold per tola has surged by Rs. 2,300 in a single day, bringing the new rate to Rs. 357,000. Likewise, the price of 10 grams of gold rose by Rs. 1,971, now standing at Rs. 306,069.
This domestic increase mirrors a similar trend in the international market, where gold prices have jumped by $21 per ounce, reaching $3,345. The surge reflects growing demand for the precious metal as global economic uncertainty, inflation concerns, and weakening currencies drive investors toward safe-haven assets like gold.
Reasons Behind the Surge
The rise in local gold prices can be attributed to a combination of domestic and global factors. Internationally, concerns over inflation, potential interest rate cuts by central banks, and instability in financial markets have all contributed to the rising price of gold. Locally, the depreciation of the Pakistani rupee against the US dollar has further amplified gold’s value in the country. Traders have also cited increased demand for gold in Pakistan, as citizens turn to it as a reliable store of value in uncertain economic times.
Impact on Consumers and Traders
Jewellers across the country are reporting a mixed response. While there has been a noticeable slowdown in consumer purchases of traditional gold jewellery, especially for weddings and other ceremonial uses, many investors continue to buy gold for wealth protection. Rising prices have pushed ordinary buyers to opt for lighter-weight jewellery or switch to artificial alternatives.
On the other hand, gold investors are seeing this as an opportunity, using the current trend to secure profits or hedge against inflation. Jewellers also noted that customers are showing growing interest in digital and fractional gold investments, which allow them to own small amounts without bearing the full cost of physical gold.
Economic Outlook and Future Expectations
Gold has shown a consistent upward trend throughout 2025, climbing from Rs. 320,000 per tola just a few months ago to its current record high. Analysts suggest the price could rise even further if economic conditions worsen or if the rupee continues to lose value.
In global markets, demand from countries like China and India, combined with uncertainty in Western economies, continues to push prices higher. As the international situation remains fluid, Pakistani markets are likely to remain volatile, and gold prices may fluctuate accordingly.
Advice for Buyers and Investors
Experts advise consumers and investors to make informed decisions during this period of price instability. For those looking to buy gold for weddings or savings, jewellers recommend planning purchases strategically or considering gold savings schemes and digital investment platforms.
While high prices may be discouraging for everyday buyers, the current rally presents a potential opportunity for those already invested in gold or considering long-term financial security through precious metals. As always, monitoring the market closely and staying updated on economic developments can help consumers navigate this evolving financial landscape.
