Gold hits new high, now Tk 133,051 a bhori

Gold prices hit a new all-time high, reaching Tk 133,051 per bhori (11.664 grammes), with the new rate coming into effect tomorrow.

Citing an increase in pure gold prices in the local market, the Bangladesh Jewellers Association (Bajus) decided raise prices of 22-carat gold by Tk 3,149 per bhori in a meeting on Saturday, according to a press release.

Gold prices have been rising steadily for over a year in Bangladesh and crossed the Tk 100,000 per bhori mark for the first time last July.

Although the country does not import significant quantities of gold, prices remain linked with international trends.

Annual demand for gold in the country currently stands between 20 and 40 tonnes.

At present, about 80 percent of the demand is met by smuggled gold, according to industry people.

For decades, gold has been considered a store of value as it has historically maintained its value over time, serving as a form of insurance against adverse economic events.

When an adverse economic situation lingers, investors may decide to pile their funds into gold, which drives up its price.