Soaring gold prices in Pakistan are compelling consumers and investors to pivot towards silver, a more accessible alternative in the face of the precious metal’s escalating cost. The sharp ascent of gold has rendered it increasingly unaffordable for many, particularly small-scale investors, prompting a significant shift in market interest towards other bullion options.
The “Poor Man’s Gold” Emerges
With the price of gold trading above PKR 430,000 (approximately $1,516) per 12 grams, silver has gained prominence as the “poor man’s gold.” Its relative affordability has made it an attractive option for the middle class seeking to participate in the bullion market’s momentum.
Record Highs for Gold
The international market has witnessed a substantial increase in gold prices, with a jump of $65 per ounce to $4,988. This global surge has directly impacted domestic rates, pushing the price of 10-gram and one-tola (24-karat) gold to unprecedented all-time highs of PKR 446,812 and PKR 524,000, respectively. These record figures underscore the significant financial barrier now presented by gold for many Pakistani consumers.
Investor Sentiment Shifts
Analysts observe that the current gold market dynamics are creating a ripple effect, pushing individuals who were previously interested in gold towards silver. This trend highlights a growing demand for alternative investment avenues within Pakistan’s precious metals sector as gold’s accessibility diminishes.
