Tuesday, 07 October, 2025
Gold has emerged as an exceptionally valuable asset in Bangladesh, with prices soaring an astonishing 40 per cent over the first nine months of the year. The surge is reverberating across investment portfolios and the local jewellery market alike.
Traditionally purchased as jewellery, gold is seeing a slump in demand as prices climb to unprecedented levels. Jewelers report dramatically quieter shops, spending much of the day idle, with sales down by half compared to the same period last year.
At the close of 2024, the price of 22-carat gold stood at Tk 138,288 per bhori. Nine months later, it has rocketed to Tk 195,384, marking a historic record. The previous peak of Tk 194,859 was set as recently as September 23.
The latest hike, an increase of Tk 2,415 per bhori, took effect on Tuesday, while the month of September alone saw a staggering rise of Tk 21,000 per bhori.
"Gold prices have been rising uncontrollably for decades. In 2000, the price of one bhori of gold was below Tk 10,000," said Gobinda Halder, a gold trader in Tantibazar. “Relentless price hikes halved customers,” said Gobinda.
Buyers now mostly come to jewelers to sell gold or take a loan against the precious metal.
The BAJUS describes the event of gold price change as a price adjustment, which actually saw the price rise 41 times until September this year. The gold price, on the other hand, dropped 17 times, with the latest fall in the price coming on September 27. Last year, the gold price was adjusted 62 times, including 35 hikes.
Historical data from BAJUS shows that in 2000, the price of 22-carat gold per bhori was Tk 6,900. By 2010, it had risen to Tk 42,165, and by 2020, it reached Tk 59,195.
The gold price increased 229 per cent over the last five years. In the past decade, the price has risen by 361 percent. The gold price has gone up by a whopping 2719 per cent over the last 25 years.
“Gold price increases depending on the bullion market,” said Masudur Rahman, chairman of BAJUS’s Price Fixing and Monitoring Standing Committee.
The Russia-Ukraine war, dollar depreciation and increased reserves in China’s central bank have influenced the price hike, he said.
According to the World Gold Council, the spot price of gold currently stands at $3,742 per ounce, which is 2.43 bhori. The current per bhori price of gold in the international market is $1,540 or Tk 187,880. The price is aligned with the domestic price, given associated costs.
In January 2025, the price of gold was $2,796 per ounce, which has increased by nearly $1,000 in nine months. The council forecasts that prices could exceed $4,000 per ounce this year.
“Gold sales have already dropped 55 percent in nine months and are likely to decline further if prices continue rising,” said Masud.
Gold sales also dropped in India by 40 percent and nearly 20 per cent in Dubai, he said.
Gifts of gold ornaments are indispensable on many social occasions, mainly at weddings. There were days when close relatives welcomed new members of their families with a gift of a gold ornament, regardless of the newborn's gender identity.
The failure to provide a gold ornament became the reason for disputes in many weddings. Sometimes, weddings were called off.
However, the landscape of gold buying in Bangladesh has shifted dramatically, especially as inflation erodes household savings. A simple ring or pair of earrings now costs around Tk 100,000—roughly a third of the average annual income per capita. “I had to marry my daughter off with her mother’s jewelry,” said Anwar Hossain, a private-sector employee, reflecting the strain on middle-class families.
For an average middle-class wedding, the budget hovers around Tk 500,000, making gold a significant financial burden. “The gold market fluctuates just like the stock market,” said Adiba Afroz, who was shopping for gold at Bashundhara Shopping Mall.
Leaders of the Bangladesh Jewellers’ Association (BAJUS) defended the volatility, explaining that local prices closely follow international trends. Despite the rising cost, the World Gold Council notes that global gold reserves remain largely unchanged, underlining its enduring value as an investment asset.
According to the council, in 2024, 40 per cent of global gold reserves were held as investments, 33 per cent went into jewellery, 20 per cent were stocked by central banks, and about 7 per cent was used in semiconductor manufacturing. Global annual gold demand reached 4,974 tonnes last year, with a market value of around $600 billion.
Bangladesh, however, lacks official statistics on gold demand, reserves, or per capita consumption, even though roughly 4.4 million people are directly or indirectly employed in the gold trade.
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Gold has emerged as an exceptionally valuable asset in Bangladesh, with prices soaring an astonishing 40 per cent over the first nine months of the year. The surge is reverberating across investment portfolios and the local jewellery market alike.
Traditionally purchased as jewellery, gold is seeing a slump in demand as prices climb to unprecedented levels. Jewelers report dramatically quieter shops, spending much of the day idle, with sales down by half compared to the same period last year.
At the close of 2024, the price of 22-carat gold stood at Tk 138,288 per bhori. Nine months later, it has rocketed to Tk 195,384, marking a historic record. The previous peak of Tk 194,859 was set as recently as September 23.
The latest hike, an increase of Tk 2,415 per bhori, took effect on Tuesday, while the month of September alone saw a staggering rise of Tk 21,000 per bhori.
"Gold prices have been rising uncontrollably for decades. In 2000, the price of one bhori of gold was below Tk 10,000," said Gobinda Halder, a gold trader in Tantibazar. “Relentless price hikes halved customers,” said Gobinda.
Buyers now mostly come to jewelers to sell gold or take a loan against the precious metal.
The BAJUS describes the event of gold price change as a price adjustment, which actually saw the price rise 41 times until September this year. The gold price, on the other hand, dropped 17 times, with the latest fall in the price coming on September 27. Last year, the gold price was adjusted 62 times, including 35 hikes.
Historical data from BAJUS shows that in 2000, the price of 22-carat gold per bhori was Tk 6,900. By 2010, it had risen to Tk 42,165, and by 2020, it reached Tk 59,195.
The gold price increased 229 per cent over the last five years. In the past decade, the price has risen by 361 percent. The gold price has gone up by a whopping 2719 per cent over the last 25 years.
“Gold price increases depending on the bullion market,” said Masudur Rahman, chairman of BAJUS’s Price Fixing and Monitoring Standing Committee.
The Russia-Ukraine war, dollar depreciation and increased reserves in China’s central bank have influenced the price hike, he said.
According to the World Gold Council, the spot price of gold currently stands at $3,742 per ounce, which is 2.43 bhori. The current per bhori price of gold in the international market is $1,540 or Tk 187,880. The price is aligned with the domestic price, given associated costs.
In January 2025, the price of gold was $2,796 per ounce, which has increased by nearly $1,000 in nine months. The council forecasts that prices could exceed $4,000 per ounce this year.
“Gold sales have already dropped 55 percent in nine months and are likely to decline further if prices continue rising,” said Masud.
Gold sales also dropped in India by 40 percent and nearly 20 per cent in Dubai, he said.
Gifts of gold ornaments are indispensable on many social occasions, mainly at weddings. There were days when close relatives welcomed new members of their families with a gift of a gold ornament, regardless of the newborn's gender identity.
The failure to provide a gold ornament became the reason for disputes in many weddings. Sometimes, weddings were called off.
However, the landscape of gold buying in Bangladesh has shifted dramatically, especially as inflation erodes household savings. A simple ring or pair of earrings now costs around Tk 100,000—roughly a third of the average annual income per capita. “I had to marry my daughter off with her mother’s jewelry,” said Anwar Hossain, a private-sector employee, reflecting the strain on middle-class families.
For an average middle-class wedding, the budget hovers around Tk 500,000, making gold a significant financial burden. “The gold market fluctuates just like the stock market,” said Adiba Afroz, who was shopping for gold at Bashundhara Shopping Mall.
Leaders of the Bangladesh Jewellers’ Association (BAJUS) defended the volatility, explaining that local prices closely follow international trends. Despite the rising cost, the World Gold Council notes that global gold reserves remain largely unchanged, underlining its enduring value as an investment asset.
According to the council, in 2024, 40 per cent of global gold reserves were held as investments, 33 per cent went into jewellery, 20 per cent were stocked by central banks, and about 7 per cent was used in semiconductor manufacturing. Global annual gold demand reached 4,974 tonnes last year, with a market value of around $600 billion.
Bangladesh, however, lacks official statistics on gold demand, reserves, or per capita consumption, even though roughly 4.4 million people are directly or indirectly employed in the gold trade.
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