Pakistan Gold Price Drops to Rs356,300 per Tola
The price movement of gold in Pakistan is closely tied to global market trends, with the local price dropping due to a decrease in the international market. The security officials' meeting with bullion traders aims to increase transparency and curb speculation in the gold market.
Gold prices in Pakistan decreased by Rs100 to Rs356,300 per tola and Rs85 to Rs305,470 per 10 grams, following a global market drop of $1 to $3,336 per ounce. The domestic and international silver markets remained steady at Rs 3,963 per tola and over $38 per ounce.
Senior security officials in Pakistan met with bullion traders in Islamabad to address concerns over gold price speculation, rising rates, and suspected smuggling. The meeting comes after a recent operation by the Federal Investigation Agency (FIA) arrested five employees of a gold trader in Karachi, recovering Rs 12 million and 11 gold biscuits. The security officials expressed concern over opaque pricing mechanisms, speculation in the gold market, and the use of social media platforms to influence gold prices.
The traders were directed to form a national committee to monitor and communicate daily rate movements transparently. They also raised concerns over two SROs: the suspension of SRO 760(I)/2024 and SRO 924(I)/2020, which regulate the import and export of precious metals and gemstones, and jewellers under anti-money laundering laws. The bullion traders were asked to resume formal trading activities, including the daily gold rate announcement by 2pm, and to curb speculative trading and hawala-hundi transactions.
Gold prices in Pakistan are widely followed, as gold is seen as a safe-haven asset and a hedge against inflation and currency depreciation. The prices are updated daily based on market rates, and central banks are the biggest gold holders, with countries like China, India, and Turkey increasing their gold reserves.