Gold price crosses Tk 200,000 per bhori, new rate comes into effect today

Gold price in Bangladesh has crossed the milestone of Tk 200,000 per bhori, the highest in the country’s history. The price stayed just below the mark for some months.

The new rate comes into effect nationwide from Tuesday.

The Bangladesh Jewellers Association (BAJUS) announced the fresh price hike on Monday evening.

According to the new rate, the price of gold will rise by up to Tk 3,150 per bhori from Tuesday. Just two days earlier, on Sunday, gold prices had increased by Tk 2,229 per bhori. This means that within three days, the price of gold has jumped by a total of Tk 5,379 per bhori, pushing it past the Tk 200,000 mark.

As per BAJUS data, from Tuesday, a bhori (11.664 gms) of 22-carat gold will cost Tk 200,726 while 21-carat gold will be priced at Tk 191,605; 18-carat at Tk 164,229; and traditional gold at Tk 136,445 per bhori.

During the Liberation War in 1971, a bhori of gold cost just Tk 170. In 2000, it was Tk 6,900. A decade later, by 2020, the price had climbed to Tk 69,867.

For the first time in the country’s history, the price crossed the Tk 100,000 mark in 2023. Within just two years, the price has doubled.

Since independence, the price of gold in Bangladesh has increased an astonishing 1,181 times.

Until Monday, a bhori of 22-carat gold was being sold at Tk 197,576, 21-carat for Tk 188,595, 18-carat for Tk 161,651, and traditional gold for Tk 134,253.

Based on the new rates, the price per bhori will rise by Tk 3,150 for 22-carat; Tk 3,010 for 21-carat; Tk 2,578 for 18-carat; and Tk 2,192 for traditional gold.

The rise in gold prices is closely linked to global economic trends. Periods of uncertainty in the world economy often drive up gold prices, as investors and central banks turn to gold as a safe asset.

Historically, gold prices have surged during high-inflation periods.

During the second wave of the Covid-19 pandemic, in early August 2020, the global price of gold exceeded US $2,070 per ounce (31.1034768 grams).

In recent days, international gold prices have been rising steadily once again. On Monday, the price per ounce reached US $3,952, up from US $3,871 on 1 October.