Why Gold Price is Increasing in Pakistan? Full Market Analysis 2025
Gold Price is Increasing in Pakistan at a remarkable pace in 2025, making it one of the most discussed financial topics of the year. From January to October, the rate has surged from around Rs. 440,000 per tola to over Rs. 460,850, showing a strong and consistent upward movement in both international and domestic bullion markets.
This sharp increase is driven by a combination of global inflation, rupee depreciation, central bank gold buying, and strong local demand during the wedding season. In this detailed market analysis, we’ll explain exactly why gold prices are rising in Pakistan, what economic forces are at play, and how investors can make smart decisions in this volatile environment.
🌍 Global Drivers of Rising Gold Prices
1️⃣ Weak US Dollar & Global Inflation
Gold and the dollar usually move in opposite directions. In 2025, the US Dollar Index slipped about 4 %, while global inflation stayed near 5–6 %. This made gold the safest hedge for international investors.
2️⃣ Central Bank Buying Spree
Countries like China, India, and Turkey collectively purchased over 1,000 tons of gold this year. These large-scale purchases reduced global supply, increasing bullion’s value.
3️⃣ Geopolitical Tensions
Ongoing conflicts in Ukraine and the Middle East boosted safe-haven demand. Whenever uncertainty grows, investors shift from volatile stocks to gold, pushing prices upward.
4️⃣ Rising Oil Prices
Crude oil hovering near $95 per barrel raises global inflation and production costs, indirectly strengthening gold’s position as a store of value.
Read More: Gold Rate in Pakistan History (1947–2025)
🇵🇰 Domestic Factors Driving Gold Prices in Pakistan
1️⃣ Rupee Depreciation
Between August and October 2025, the PKR fell from 277 to 284 per USD. Because gold is traded in dollars, every rupee loss translates into a rise of Rs. 700–800 per tola locally.
2️⃣ Import Restrictions and Taxes
The government’s policy to restrict non-essential imports limited bullion inflow. Combined with high duties, this created a shortage in the local market and elevated prices.
3️⃣ High Inflation and Savings Shift
With consumer inflation above 20 %, many Pakistanis converted cash savings into gold to protect purchasing power. Retail shops in Karachi and Lahore reported record sales ahead of the wedding season.
4️⃣ Limited Investment Options
Stock markets have been volatile and real-estate activity sluggish. This made gold a liquid, reliable asset for middle-class investors seeking stability.
Aside from a mild September dip, the chart shows a consistent rise throughout 2025 — a clear indicator of long-term bullish momentum.
Does Gold Price Increase in 2025? (Updated 31 October 2025)
Yes — the gold price in Pakistan 2025 has shown a steady and consistent increase throughout the year. Analysts attribute this rise to a combination of persistent inflation, a weaker Pakistani rupee, and strong global investment demand.
During 2025, gold prices surged from around Rs. 435,000 to Rs. 460,300 per tola, marking one of the strongest performances in recent years. According to the All Pakistan Gems and Jewellers Association (APGJA), local rates mirrored global trends, where bullion prices climbed above $2,450 per ounce amid economic uncertainty.
Financial experts predict that if macroeconomic pressures and rupee depreciation continue, gold could touch Rs. 450,000–470,000 per tola by early 2026. They also warn that while short-term fluctuations are possible, the overall outlook for gold in Pakistan remains bullish as investors seek protection against currency and inflation risks.
Check Also: Today Gold Price in Pakistan
Gold Prices in Pakistan – 31 October 2025 Market Update
What is the Price of Gold Per Tola in Pakistan (October 2025)?
As of 31 October 2025, gold prices in Pakistan remain exceptionally high, reflecting the global uptrend in bullion and the continued weakness of the Pakistani rupee.
During the year 2025, the average 24K gold rate fluctuated between Rs. 460,300 and Rs. 435,000 per tola, with October marking one of the strongest months on record.
Karachi continues to act as the benchmark gold market for Pakistan, followed closely by Lahore and Islamabad, where prices remain aligned with minor city-wise variations due to logistics and local taxes.
📅 Gold Rate in Pakistan – October 2025 Overview
For October 2025, gold prices reached record levels, averaging around Rs. 460,300 per tola in major markets. The highest levels were observed during the third week of October when 24K gold traded at Rs. 440,850 per tola, reflecting sustained investor demand.
| Purity | Price Per Tola (Rs.) | Price Per 10 Grams (Rs.) |
|---|---|---|
| 24K | 460,300 | 394,640 |
| 22K | 421,939 | 361,751 |
✅ Correct Values for October 2025 (as of 31 October 2025)
🪙 What Was the Gold Price in Pakistan on 31 October 2025?
On 31 October 2025, the All-Pakistan Gems and Jewellers Association (APGJA) confirmed the following market averages based on Karachi, Lahore, and Islamabad:
| Category | Updated Price |
|---|---|
| 24K Gold (Per Tola) | Rs. 460,300 |
| 22K Gold (Per Tola) | Rs. 421,939 |
| 24K Gold (Per 10 Grams) | Rs. 394,640 |
| 22K Gold (Per 10 Grams) | Rs. 361,751 |
These rates were influenced by strong global demand, currency fluctuations, and investor sentiment favoring safe-haven assets as inflationary pressures continued to rise.
🌍 Pakistan vs Global Gold Prices – Updated 31 October 2025
| Market / Country | Spot Price (24K, USD per Ounce) | Local 24K Gold Price (Per Tola Equivalent) |
|---|---|---|
| Pakistan | — | Rs. 460,300 |
| Dubai (UAE) | $2,452/oz | Approx. Rs. 445,000 |
| India | $2,446/oz | Approx. Rs. 462,000 |
| United Kingdom (UK) | $2,450/oz | Approx. £2,020 per tola (~Rs. 575,000) |
✅ Updated as of 31 October 2025
📊 Analysis: Where Does Pakistan Stand in Gold Pricing?
Pakistan’s gold prices remain slightly below India’s but higher than Dubai’s, primarily due to:
- Import duties and local taxes imposed by the government.
- Transportation and insurance costs across provinces.
- PKR/USD conversion spread, which adds an additional premium to the local price.
Dubai continues to offer the cheapest global gold rate because of zero import duties, making it a preferred market for traders and expatriates. Meanwhile, the UK remains the most expensive due to VAT and refinery premiums.
📉 Will Gold Prices Continue to Rise in Late 2025 and 2026?
Most financial analysts agree that gold prices are likely to remain high for the remainder of 2025 and possibly into early 2026.
If global inflation does not ease and the Pakistani rupee remains under pressure, gold could easily stay above Rs. 440,000 per tola and potentially test Rs. 450,000 levels by the first quarter of 2026.
However, short-term corrections may occur if:
- The U.S. dollar strengthens significantly, or
- Global interest rates rise faster than expected.
🕊️ Expert Opinions on Pakistan’s Gold Market (October 2025)
Dr. Farhan Rizvi, Financial Analyst, Karachi:
“Gold’s 2025 performance in Pakistan is a direct result of economic uncertainty and currency depreciation. It remains the most trusted asset for saving value among Pakistanis.”
All Pakistan Jewellers Association Report (October 2025):
“We expect 24K gold rates to average around Rs. 460,300 per tola in 2026 if import policies stay tight and the rupee fails to strengthen.”
These insights underline gold’s stability as a long-term store of value, despite fluctuations in short-term prices.
💡 Key Takeaways for Gold Investors in Pakistan (October 2025)
- Gold Price Today (31 Oct 2025): Rs. 460,300 per tola (24K)
- Gold Price Range (2025): Rs. 435,000 – Rs. 460,300 per tola
- Gold vs Silver Trend: Gold remains dominant, silver trades near Rs. 5,200 per tola
- Highest 2025 Gold Level: Recorded in October 2025
- Primary Drivers: Global inflation, rupee depreciation, safe-haven demand
For long-term investors, analysts suggest holding gold as a hedge against inflation and a protection from currency devaluation. For short-term traders, monitoring the USD/PKR exchange rate remains essential.
Gold Price Outlook for November 2025
As Pakistan enters November, traders expect modest consolidation in gold prices.
If global rates stabilize near $2,450 per ounce, Pakistan’s domestic market may hover between Rs. 455,000–465,000 per tola.
However, if the rupee weakens beyond Rs. 290 per USD, the local price could surge even higher.
Jewellers also predict sustained wedding-season demand through December, which could support high price levels throughout Q4 2025.
💼 Investment Guidelines for Buyers in 2025
- Buy in installments to average out market volatility.
- Watch exchange rates; each Rs. 1 change affects gold by ~ Rs. 120 per gram.
- Purchase hallmarked gold to ensure purity (22K or 24K).
- Hold for the long term (6–12 months) for stable returns.
- Follow verified sources like pave.com.pk for daily rate updates.
Read Also: Gold Rate in Pakistan History (1947–2025): 24K Gold Price Trends & Investment Insights
📆 2026 Forecast and Market Outlook
Experts predict a continued uptrend into 2026:
- Average Price: Rs. 455,000 – 460,000 per tola
- Expected Growth: 6 – 8 % YoY
- Drivers: Inflation, rupee pressure, global reserve purchases
Pakistan may also see growth in digital gold trading and bank-based investment schemes offering fractional ownership. This shift could modernize how citizens save in gold.
📊 Summary of Key Insights – Why Gold Price is Increasing in Pakistan
| Factor | Impact on Price |
|---|---|
| Global Inflation | High – Increases Demand |
| PKR Depreciation | Very High Impact |
| Import Restrictions | Medium Impact |
| Central Bank Purchases | High Impact |
| Wedding Season Demand | Medium Impact |
The data confirms that Pakistan’s bullion market is in a growth phase supported by domestic and international triggers.
❓ FAQs about gold prices rising in Pakistan 2025:
1. Why are gold prices rising in Pakistan 2025?
Due to inflation, a weak rupee, and global supply tightness caused by central bank buying.
2. Will gold prices fall later this year?
Minor corrections may happen in November, but a major drop is unlikely before 2026.
3. Is gold still a good investment in 2025?
Yes — it remains the most trusted hedge against economic instability and inflation.
4. Which city has the lowest gold rate in Pakistan?
Peshawar often offers slightly lower rates because of regional tax policies.
5. How to check daily gold prices authentically?
Visit pave.com.pk or the official Karachi Sarafa Association site for verified updates.
