Gold prices in Pakistan registered a sharp rise over the past year, mirroring gains in the international market and fueled by a combination of currency depreciation, inflationary pressures and strong investor demand.

According to the All Pakistan Sarafa Gems and Jewellers Association (APSGJA), the price of 24-karat gold surged Rs108,500 per tola since June 29, 2024, reaching Rs350,200. The 10-gram rate similarly jumped over Rs93,000 to Rs300,240. This substantial appreciation comes as global gold prices continue to climb, moving up from $2,326 to above $3,280 per ounce over the same period.

On June 29, 2024, the international gold price stood at $2,326 per ounce, with the local rate for 24-karat gold at Rs241,700 per tola and Rs207,219 per 10 grams. The price for 22-karat gold was Rs189,950 per 10 grams.

In contrast, according to the latest update from APSGJA, the price of 24-karat gold has risen sharply to Rs350,200 per tola – a jump of Rs108,500 over the 12-month period. Similarly, the 10-gram gold rate has increased to Rs300,240, reflecting a substantial rise of over Rs93,000 compared to last year's levels.

Gold prices in Pakistan posted a modest increase on Monday, following a similar trend in the international market where the precious metal inched higher amid a weaker US dollar. Investors are now awaiting key US economic data due later this week for cues on Fed's future policy direction. The price of gold rose Rs800 per tola, reaching Rs350,200. Similarly, the price of 10-gram gold climbed Rs686 to Rs300,240.

Interactive Commodities Director Adnan Agar noted that gold touched intra-day high of $3,296 and low of $3,259 in the international market. He described the overall market trend as downward, with potential support zones at $3,220 and $3,200. Spot gold rose 0.5% to $3,287.64 per ounce as of 1447 GMT after reaching its lowest point since May 29 earlier in the session, according to Reuters. The yellow metal was up for the second straight quarter, rising 5.2%.

Meanwhile, the Pakistani rupee registered a slight decline against the US dollar on Monday, slipping 0.01% in the inter-bank market. It concluded fiscal year 2024-25 with a year-on-year depreciation of 1.95%. At the close of trading, the rupee settled at 283.76, down four paisa from the previous session.

On a yearly basis, the rupee depreciated Rs5.42 compared to the closing rate of 278.34 recorded at the end of the previous fiscal year. Analysts attribute the currency's subdued performance to persistent pressure from rising import demand.