As of 26 December 2023, the retail gold rate in Pakistan stands at PKR 187,070.000 per 10 grams for 24K gold. This is based on the latest updates from local jewelry shops and gold retailers across the country. Fluctuations in international gold prices and local market dynamics continue to impact gold rates on a daily basis.
Overview of Gold Rates in Pakistan
Gold holds special significance in Pakistan’s culture and economy. It is widely purchased for jewelry and as an investment due to its intrinsic value. The high demand stems from economic uncertainty, as people view gold as a safe haven during financial turmoil.
Pakistan meets most of its annual gold demand through imports. As a result, global pricing trends, foreign exchange rates, import duties etc. directly influence the domestic retail gold rate. Local jewelers also factor in inventory and making charges, impacting the final prices displayed across gold shops nationally.
Keeping abreast of these market dynamics provides Pakistani buyers and investors valuable insights when purchasing gold.
Determining Factors for Gold Rates in Pakistan
Some key factors that shape the gold price in Pakistan are:
Global Gold Prices
Pakistan imports over 700 tons of gold annually, mostly from Switzerland, South Africa, UAE and other sources. As a net importer, movements in international gold rates are key in determining domestic prices set by local jewelers. Benchmarks like LBMA Gold Fixings are tracked daily.
Currency Exchange Rates
Gold prices in Pakistan are quoted in the local currency i.e. PKR. Currency appreciation or depreciation against the US Dollar impacts landed prices of imported gold, eventually influencing retail rates. A weaker Rupee makes gold more expensive for Pakistan.
Import Duties
The government levies import taxes and duties on imported gold, increasing input costs for retailers. Upward revisions in annual budgets add to these costs which trickle down to consumers via higher gold rates.
Jeweler Making & Carrying Charges
Locally manufactured 22K and 24K gold jewelry also carries making and inventory carrying costs for jewelers. Changes in these costs also shape display prices at gold shops countrywide.
Silver Prices
There is a strong correlation between gold and silver price movements due to their precious metal status and similar demand drivers. With Pakistan importing nearly 100 tons silver annually, fluctuations in international silver rates also sway domestic gold prices.
Inflation and Currency Devaluation Expectations
Historically, gold has delivered positive returns against high inflation as it provides a hedge against currency debasement. Heightened global economic uncertainty and recession fears can boost investment demand for this safe-haven asset.
Today’s Gold Rate per Gram and per Tola
Based on the above factors, the updated gold rate in Pakistan today is:
| Gold Category | Rate |
|---|---|
| 24K per tola (1 Tola in ARY ) | PKR 218,200 |
| 22K per tola (1 Tola in ARY ) | PKR 200,016 |
| 24K per 10 grams (1 Tola in ARY ) | PKR 187,070 |
| 22K per 10 grams (1 Tola in ARY ) | PKR 171,480 |
Rates were last updated on December 26th, 2023 at 10:25 AM as being offered at local gold shops. Prices can vary slightly across cities.
22K gold enjoys higher demand being the preferred choice for bridal jewelry and other ornamental pieces.
Gold Rate Outlook for 2023
The outlook for gold prices in Pakistan remains positive given the growing gap between annual demand and supply. As per experts, gold demand could reach 900 tons in the next 5 years while local supply hovers around 700 tons.
Traders are monitoring factors like:
- Global recession fears
- China’s economic reopening
- Geopolitical tensions
Meanwhile, potential political instability domestically in an election year coupled with FATF announcements could spur local demand.
Buying Gold in Pakistan
Gold enjoys immense popularity for bridal jewelry and as an inflation-hedging investment. However, buyers should purchase only from reputable jewelers to ensure quality.
Tips when buying gold:
- Verify BIS Hallmarked certification for purity
- Check for 999 stamps on 24K jewelry
- Compare designs and rates at multiple stores
- Request test certificate from assaying centers
- Avoid cash purchases. Use bank transfers or cards
Some leading national jewelry chains include:
- ARY Gold Scheme
- Swera Gold Scheme
- Takaful Gold Program
Conclusion
In recent years, Pakistan’s domestic gold prices have shown heightened volatility due to diverse influencing factors. Keeping updated with market developments provides helpful insights on price trends. By understanding purity hallmarks and the rate differential between wholesale and retail, consumers can make informed purchasing decisions.