Gold price will be Tk 112,907 a bhori, the highest in the history of Bangladesh, with effect from tomorrow.

The previous price of each bhori or 11.664 grammes of 22-carat gold ornaments was Tk 1.1 lakh.

The standing committee on pricing and price monitoring of the Bangladesh Jewellers' Association (Bajus) today in a meeting took the decision of raising the price citing an increase in pure gold prices in the local market.

In July last year, the price of gold crossed the Tk 100,000-mark for the first time in Bangladesh.

Gold prices have been rising for more than a year influenced by hikes in the international market and volatility in its supply in the domestic market.

Although Bangladesh does not import any significant quantity of gold, its prices are almost linked with international trends.

In Bangladesh, the annual demand for gold stands in between 20 tonnes and 40 tonnes.

About 80 percent of the demand is met through smuggled gold.