Gold prices in Pakistan have jumped sharply, continuing a volatile trend driven by global markets and domestic economic pressures. According to official data released on Tuesday, the price of gold increased by thousands of rupees per tola in a single day, pushing rates to historic highs for local buyers.
The latest surge mirrors a strong upward movement in international gold prices, which also rose significantly during the same trading session. As a result, both investors and consumers in Pakistan are facing higher costs, especially ahead of the wedding season when gold demand traditionally increases.
Gold Prices Rise Nationwide
The price of gold increased by 2,700 Pakistani rupees per tola across Pakistan. According to the All Pakistan Gems and Jewellers Sarafa Association (APGJSA), the new price of one tola now stands at Rs 453,562.
This increase applies to major bullion markets, including Karachi, Lahore, Islamabad, and other urban centers. Jewellers confirmed that prices were updated uniformly nationwide, following the association’s daily price review.
In addition, the price of 10 grams of gold rose by Rs 2,315, bringing the new rate to Rs 388,856. This measurement is commonly used in official trade and banking references.
Also Read: Gold Prices Surge Sharply Across Pakistan
International Gold Market Drives the Trend
The rise in local prices closely follows developments in the global bullion market. Internationally, gold prices increased by $27 per ounce, reaching $4,312 per ounce.
Analysts say global gold prices have remained under upward pressure due to persistent economic uncertainty. Factors include concerns over inflation, geopolitical tensions, and expectations around interest rate decisions by major central banks.
Gold is widely seen as a safe-haven asset. Therefore, investors often turn to it during periods of market instability. This behavior tends to push prices higher worldwide, including in import-dependent markets like Pakistan.
Impact on Pakistani Consumers and Investors
For Pakistani consumers, especially those planning weddings or major purchases, the price hike presents a financial challenge. Gold jewellery remains a cultural staple in marriage ceremonies, and rising prices increase household expenses.
Meanwhile, investors holding gold have seen the value of their assets rise. Many local investors use gold as a hedge against inflation and currency depreciation. Pakistan’s rupee has experienced significant volatility in recent years, strengthening gold’s appeal as a store of value.
However, jewellers report that higher prices often lead to reduced sales volumes. Buyers may delay purchases or opt for lighter jewellery designs to manage costs.
Broader Economic Context
Pakistan imports most of its gold, making local prices sensitive to international rates and exchange movements. Any weakening of the rupee against the US dollar further amplifies price increases at home.
In recent years, gold prices in Pakistan have repeatedly broken previous records. This reflects a combination of global price rallies and domestic economic pressures, including inflation and balance-of-payment concerns.
Market observers note that unless international prices stabilize or the rupee strengthens, local gold prices are likely to remain elevated in the near term.
What to Watch Next
Traders will closely monitor upcoming economic data from major economies, particularly the United States. Decisions related to interest rates and inflation controls could influence gold’s global trajectory.
For now, both consumers and investors in Pakistan remain cautious. While gold continues to offer long-term security, its rising cost is reshaping buying behavior across the country.
As markets remain uncertain, gold’s role as a financial refuge appears as strong as ever.
