KARACHI – The price of one tola gold in Pakistan (24-karat) was recorded at Rs225,200 on Saturday (May 6, 2023).
The price of 10 grams of 24-karat gold was recorded at Rs193,080.
Similarly, the price of 10 grams of 22-karat gold was recorded at Rs163,624. The price of one tola of 22-karat gold in Pakistan is Rs190,880.
This must be mentioned here that gold rates in Pakistan are dependent on the international market therefore they cannot be fixed locally. The gold rates given below are received from local gold markets of different cities.
Gold rates are usually the same throughout the country, but there could be a minor difference in different cities. Also, it’s worth mentioning here that gold rates in Pakistan change several times a day.
There can be several reasons for the increase in gold rates in Pakistan. Here are some factors that commonly influence gold prices:
1. Global Demand and Supply: Gold is a globally traded commodity, and its prices are influenced by global demand and supply dynamics. If there is an increase in global demand for gold, it can lead to higher prices. Factors such as economic uncertainty, geopolitical tensions, inflation concerns and currency fluctuations can drive up the demand for gold as a safe-haven investment.
2. International Market Factors: Gold prices are often affected by global economic conditions and financial market trends. For example, if there are concerns about the stability of the global economy or if stock markets are experiencing volatility, investors may turn to gold as a store of value, causing its prices to rise.
3. Exchange Rates: Gold prices are typically quoted in US dollars. Therefore, fluctuations in the exchange rate between the Pakistani rupee and the US dollar can impact the local price of gold. If the Pakistani rupee depreciates against the US dollar, it can lead to higher gold prices in Pakistan.
4. Import Costs and Duties: Pakistan relies heavily on gold imports to meet domestic demand. Changes in import costs, including transportation expenses, customs duties and taxes can affect the overall price of gold in the country. Increases in these costs can contribute to higher gold prices.
5. Local Demand and Investment Patterns: Domestic factors such as local demand for gold and investment patterns within Pakistan can also influence gold prices. If there is a surge in demand for gold jewellery, for instance, it can drive up prices. Additionally, investor sentiment and preferences for gold as an investment asset class can impact prices.
It’s important to note that these factors are interconnected and can vary over time. Therefore, gold prices can fluctuate frequently in response to changing market conditions and a combination of these factors.