The gold prices at the country has been skyrocketed amid global instability, impacting both buy and sell of the precious metal on the country鈥檚 market.
The prices of the luxury item surged by Tk 27,750 a bhari (11.664 grams) in just one month, rising from Tk 1,81,550 a bhari on September 8 to Tk 2,09,100 a bhari on October 9.
According to market insiders, the sky-high prices caused jewellery sales drop across the country.
Price of gold reached $4,037.95 an ounce (Tk 4,91,000 approximately) on the international market on Thursday.
According to the Bangladesh Jewellers鈥� Association, the price of 22-carat gold was Tk 1,81,550 per bhari on 8 September this year.
However, after eleven consecutive hikes, it reached at Tk 2,09,100 per bhari on October 9, an increase of Tk 27,550 in just 30 days.
BAJUS in a press release stated that the gold market was rising due to influence of the international market, US monetary policy and the government鈥檚 VAT and duty pressure.
The association claimed that these strict policies were contributing to an increase in gold smuggling.
Moreover, global economic uncertainty, shifting dollar and expectations of a possible US interest rate cut were driving investors towards gold as a haven.
Both buyers and sellers are frustrated by the record-high prices of gold in the local market.
Several jewellers said that over the past month, gold prices had been hitting record highs not only in Bangladesh but also worldwide, leading to a sharp decline in purchases despite the onset of the wedding season.
With the latest surge, customer presence at jewellery stores has reduced even further.
Several jewellers in Dhaka said that their sales had split in recent weeks.
The scale of the gold market has crossed all the levels. Every morning, new records are being broken. Gold jewellery that was once within reach has now become an ornament of dreams. Love, marriage and gifts, the glimmer of gold has turned into a star in the distant sky, they added.
According to a sales executive at Amin Jewellers, the hike has already impacted the market. Gold is going beyond people鈥檚 buying capacity day by day and if someone used to buy 5 bharis before, now they will buy only 2.
Another gold trader said that sales had declined badly and they could not do anything about it.
People have reduced the number of gold items they gave as gifts, with some preferring to give cash instead. The least expensive items in their shop are now Tk 25,000-30,000, the trader mentioned.
With the wedding season just around the corner, buyers are worried about how they would meet the skyrocketing cost of jewellery.
One buyer said that buying gold was beyond his means at the moment.
Still, some are buying cautiously, small amounts for wedding needs or as a future investment.
Though instalment options offered little relief, sellers were unwilling to take the risk of daily price fluctuations.
Meanwhile, silver prices also have surged as the price of 22-carat silver hiked by Tk 327 a gram, reaching Tk 4,981, the highest in the country鈥檚 history.
Goldman Sachs, a US multinational investment bank and financial services company, forecasted that the price of gold could reach $4,900 an ounce in December 2026, up from its earlier projection of $4,300.
Moreover, central banks of various countries are continuously buying gold, pushing global prices up by 51 per cent so far this year, according to media reports.
Industry insiders said that if global gold prices continued to rise, prices in Bangladesh were also expected to increase further.
