ISLAMABAD: The price of gold in Pakistan rose to yet another high Tuesday, as the country’s economic turmoil showed no improvement and inflation shattered the previous record.
According to the All Pakistan Sarafa Gems and Jewellers Association, the rate of 24 karats of gold increased by Rs1,500 per tola and Rs1,286 per 10 grams to reach Rs221,000 and Rs189,472, respectively.
Due to the depreciation of the Pakistani rupee and decreasing interest in real estate, gold prices are increasing in Pakistan continuously as investors are inclined to invest in the yellow plates.
During the last couple of months, the economic recession and turmoil made the Pakistani rupee to devalue to an all-time low of Rs288.43 against the American dollar in the interbank market on April 11. In the following days, the rupee got a slight recovery and traded Rs280.
Meanwhile, inflation in April clocked in at 36.4% year-on-year — a record high — which means Pakistan has the fastest rising prices in Asia, beating even Sri Lanka, where inflation was measured at 35.3% in the previous month.
Another major reason for the increase in demand for gold is the delay in the release of the tranche from the International Monetary Fund (IMF), being suspended since 2019.
Gold Price in International Market
Meanwhile, the price of gold remained unchanged at $1,990 per ounce in the international market.
Data shared by the Gems and Jewellers Association showed that the price of silver rose by Rs130 per tola and Rs111.45 per 10 grams to settle at Rs2,730 and Rs2,340.53, respectively.
