Gold prices increase Rs2,300 per tola in Pakistan

ISLAMABAD: Gold rates witnessed an increase in domestic market on Wednesday in line with rising global rates.

As per the details, in the global market, the precious metal rose by $23, reaching $4,165 per ounce.

Domestically, the price of gold per tola surged by Rs2,300, bringing the new rate to Rs438,862. Similarly, the price of 10-gram gold climbed by Rs1,972, now standing at Rs376,253.

Silver prices also saw a notable rise. The rate of one tola silver increased by Rs60 rupees and is currently being sold at Rs5,482.

Meanwhile, the Competition Commission of Pakistan (CCP) has released a “Competition Assessment Study” on the country’s gold market, presenting an evidence-based analysis of the sector’s structure, regulatory framework, and competition-related challenges. The study outlines key weaknesses in the existing system and stresses the need for greater transparency and oversight.

According to the report, the CCP has recommended the establishment of a Pakistan Gold and Gemstone Authority to help formalize and regulate the gold market. The assessment, prepared by the recently formed Centre of Excellence in Competition Law, highlights that the gold trade in Pakistan largely operates without comprehensive regulations, contributing to opaque pricing and market inefficiencies.

The study noted that Pakistan consumes between 60 and 90 tonnes of gold annually, driven mainly by social and cultural traditions. More than 90 percent of this trade takes place through informal channels, while the country remains almost entirely dependent on imported gold. In 2024, Pakistan imported gold worth 17 million dollars.

The report also identifies the Reko Diq copper-gold project as a significant future contributor to the national economy. With an expected operational life of 37 years, the project has the potential to produce copper and gold valued at around 74 billion dollars, potentially transforming Pakistan’s domestic supply chain.