Karachi, June 13, 2025 — Gold rates in Pakistan witnessed a sharp increase on Friday, nearing record highs, as rising geopolitical tensions in the Middle East rattled global financial and commodity markets.
The surge comes in the wake of a renewed Israeli military strike on Iran, sending shockwaves through investor sentiment and pushing demand for safe-haven assets like gold.
According to market sources, the 24-karat gold rates in Pakistan surged by Rs4,600 per tola, closing at Rs361,500 compared to the previous day’s Rs356,900. This brings domestic gold rates within striking distance of the all-time high of Rs363,700 per tola recorded on April 22, 2025.
Similarly, the gold rates for 24-karat 10-gram bars rose by Rs4,023 to settle at Rs310,007, up from the previous closing of Rs305,984 in local markets. Dealers say the jump in Pakistan gold rates reflects the volatility seen in international markets, where gold prices rose by $46 per ounce, reaching $3,417 from Thursday’s closing of $3,375.
Bullion traders and financial analysts in Pakistan pointed to the escalating conflict between Israel and Iran as the major driver behind the uptick. The regional instability has spooked investors, prompting a rush towards gold as a traditional hedge against uncertainty.
“Pakistan’s gold rates are directly influenced by international trends. The moment global gold prices surge due to geopolitical risks, domestic markets respond instantly,” said one Karachi-based bullion dealer. “The Israel-Iran conflict has led to increased speculative buying and hoarding, further fuelling local price hikes.”
This marks the second significant spike in gold rates in Pakistan over the past two months, highlighting the fragility of market conditions amid persistent global instability. With fears of broader regional escalation, analysts expect gold rates in Pakistan to remain elevated in the coming weeks.
Investors in Pakistan are now closely watching both international developments and domestic demand as uncertainty persists. Any further deterioration in the Middle East conflict could potentially push gold rates in Pakistan to fresh record highs, impacting both individual buyers and the jewelry sector.