Karachi, June 20, 2025 — Gold prices in Pakistan extended their declining streak on Friday, influenced by rising geopolitical tensions and the weakening of the Pakistani rupee against the dollar.
Despite the depreciation of the local currency, the precious metal failed to gain traction, registering its fifth consecutive daily fall.
According to data from local bullion markets, the price of 24-karat gold per tola dropped by Rs1,595 to close at Rs257,000, down from the previous day’s rate of Rs258,595. Over the past five trading sessions, gold prices in Pakistan have seen a cumulative decline of Rs6,000 per tola, reflecting the growing volatility in both domestic and global markets.
Similarly, the price of 24-karat gold per 10 grams also witnessed a drop of Rs1,368, falling from Rs307,437 to Rs306,069. This downward movement comes as a surprise to many, especially in light of the ongoing depreciation of the rupee, which typically drives gold prices higher due to increased import costs.
Gold prices in Pakistan had previously surged to an all-time high of Rs363,700 per tola on April 22, 2025, amid heightened inflationary concerns and global economic uncertainties. However, the recent downward trend suggests a shift in market dynamics, with investors reacting cautiously to shifting geopolitical and economic factors.
Bullion market analysts in Pakistan attribute the recent decline to a drop in international gold prices, which fell by $16 to settle at $3,356 per ounce on Friday, down from $3,372 the day before. The moderation in global gold prices appears to have outweighed the impact of rupee weakness locally.
Experts also point to shifting investor sentiment, with some investors moving away from gold in search of more stable or high-yield assets amid fiscal uncertainty in Pakistan. Despite gold’s traditional role as a safe haven, its prices are now caught between conflicting pressures: rising global risks, weakening currency, and shifting domestic demand.
Looking ahead, gold prices in Pakistan may remain volatile, depending on international market trends, currency fluctuations, and investor behavior. For now, Pakistan’s bullion market continues to reflect a cautious and reactive sentiment.