In keeping with the ongoing rise in international prices, the price of gold in Pakistan rose to an all-time high of Rs 163,500 on Friday, with a fresh hike of Rs 750 per tola.
Data by All Pakistan Sarafa Gems and Jewellers Association (APSGJA) showed that gold price settled at Rs 163,500 per tola. The price per gramme increased from Rs 643 to Rs 140,175.
The stability of the rupee against the US dollar at a record high level is the reason behind the spike. Pakistan meets its demand for the precious metal through imports.
Meanwhile, stock market participants are diverting investment to gold because the bourse is experiencing selling pressure due to the overheating of the economy. Gold is once again attracting safe-haven investment.
Analysts suggest that people usually take positions in gold during inflationary times, and at present, inflation is the largest challenge in Pakistan.