Bangladesh’s gold price exceeds global market prediction

The latest hike in gold prices in Bangladesh has pushed the precious metal's value beyond levels anticipated from global market trends.

On Sunday, high-quality 22-carat gold was being sold at Tk167,833 per bhori (11.664 grams), marking the highest price ever recorded in the country.

Bite-sized: Why is gold in Bangladesh costing Tk44,824 more than global prices?

This follows the most recent price revision, which came into effect today.

Meanwhile, Goldman Sachs has forecast that the global price of gold could reach $3,700 per ounce by the end of 2025. One ounce equals 31.1035 grams.

The Bangladesh Jewellers' Association (Bajus) has fixed the 22-carat gold price at Tk14,389 per gram. Accordingly, the local price of one ounce of gold stands at Tk447,548.

But, the current spot price for gold in the United States is approximately $3,328.30 per ounce, equivalent to around Tk402,724.

This means gold in Bangladesh is being sold at Tk44,824 higher than the international market rate.

Bajus had earlier raised the price of gold by Tk3,033 per bhori last Wednesday.

On Saturday, the association announced a further increase of Tk2,624 per bhori, effective from Sunday.

As per the new pricing, from Sunday, hallmarked 22-carat gold is being sold at Tk167,833 per bhori, 21-carat at Tk160,205 per bhori, and 18-carat at Tk137,309 per bhori. Besides, the price of traditional method gold has risen to Tk113,491 per bhori.

Up until Saturday, the prices stood at Tk165,209 per bhori for 22-carat hallmarked gold, Tk157,697 for 21-carat, Tk135,174 for 18-carat, and Tk111,660 per bhori for traditional gold.

In a press release, Bajus stated that the selling prices of gold and silver must include a 5 percent VAT as mandated by the government, along with a 6 percent minimum wage set by the association.

The wage component may vary based on the jewellery's design and craftsmanship.