Gold price may rise further

Sonia H Moni | Published: March 28, 2011 00:00:00 | Updated: February 01, 2018 00:00:00

Sonia H Moni
The price of gold may increase further by Tk 1000 a 'bhori' in the local market in line with the price hike of the precious metal in the international market, jewellers said. "The gold price is likely to go up by Tk 1000 a 'bhori' (11.66 grams) in the local market from next week," Bangladesh Jewellery Manufacturers and Exporters Association (BJMEA) president Anwar Hossain told the FE. Gold prices in the local market have hit a new high with the 22-carat gold selling at Tk 43,331, 21-carat at Tk 41,348 and 18-carat at Tk 36,858 a 'bhori' indicating a dull business of the precious metal in the country while traditional gold price was Tk 29,160 on March 02. In December last year, the traditional gold was sold at Tk 27,993, 18-carat at Tk 35,866, 21-carat at Tk 40,240 and 22-carat at Tk 42,165 a 'bhori'. He said: "The price of gold has soared to a new high of nearly $1447 an ounce in the global market amid speculation that it could hit $2,000 in international market in next decade." The price of 22-carat gold was Tk 33,000 in March last year. It gold increased over 10 times during the last one year, he said. "The gold prices are rising continuously as many countries, especially the Gulf states, have resorted to holding reserves of the precious item instead of US dollar," he added. BJMEA general secretary Enamul Haque Khan said demands for gold have increased sharply in India and China with the increase in the purchasing capacity of the people in those countries. "Chinese people did not use gold in the past. But now they are buying it as their per capita income has increased manifold," he added. BJMEA president Hossain said: "A female garment worker could buy a chain worth Tk 1500 to Tk 1600 seven to ten years back. But now a chain costs Tk 10,000 to Tk 12,000 which is almost impossible for them to pay." "Sales of gold ornaments declined by 60 to 70 per cent in last five years due to abnormal price hike. After 20 to 25 years later women will not be able to use gold as ornaments. Gold would be used only for industrial or technological purposes," he observed.