Gold prices in Pakistan continued their upward trajectory on Thursday, with one tola (approximately 11.66 grams) rising by a staggering PKR 14,800. This marks yet another significant increase in the domestic market, reflecting both local demand and global market movements.
Domestic Prices Hit Record Levels
According to the All Pakistan Sarafa, Gems & Jewellers Association, the price of one tola of gold now stands at PKR 529,162. This surge represents one of the sharpest single-day increases in recent months.
For smaller quantities, the impact is equally notable. The price of 10 grams of gold rose by PKR 12,689, reaching PKR 453,671. The consistent climb in gold prices has fueled concern among traders and investors who rely on the precious metal for both personal savings and commercial purposes.
Global Market Influence
The domestic price rise mirrors trends in the international gold market. On global exchanges, gold prices increased by USD 148 per ounce, reaching USD 5,064 per ounce. Analysts attribute this surge to several factors, including inflation concerns, currency fluctuations, and geopolitical uncertainties.
Gold has historically served as a safe-haven asset during times of economic instability. Recent fluctuations in major currencies, particularly the weakening of the US dollar against other currencies, have made gold an attractive investment option. This global demand, in turn, impacts local markets like Pakistan, where import costs also affect retail prices.
Economic Implications
The soaring gold prices carry broad economic implications. For ordinary consumers, gold is a key asset for weddings, festivals, and savings. The current price hike could strain household budgets, especially during traditional buying seasons.
For investors, however, gold remains a preferred choice amid volatile stock markets and declining interest rates on conventional savings accounts. Traders have reported a surge in buying activity as many try to hedge against inflation and currency depreciation.
Historical Context
Over the past year, gold prices in Pakistan have consistently trended upward. In 2025 alone, the price of one tola increased by approximately PKR 100,000, reflecting both rising global rates and local economic factors such as inflation and currency devaluation.
Historically, Pakistan has one of the highest gold consumption rates in South Asia. According to the World Gold Council, the country imports over 100 tonnes of gold annually, primarily for jewelry and investment purposes. These imports are highly sensitive to global price swings, and any rise on international markets directly affects local rates.
Outlook
Market experts suggest that the upward trend may continue in the near term. With inflation pressures persisting and global gold prices remaining elevated, domestic prices are unlikely to stabilize soon. Consumers are advised to monitor market conditions closely and consider timing purchases strategically.
In summary, the latest surge in gold prices highlights the interconnected nature of global and domestic markets. While the rise may benefit investors and traders, it poses challenges for ordinary consumers who rely on gold for savings and traditional occasions.
