The Gold price in India does not seem to decrease. The price of Gold has been around Rs 1.5 lacs per 10g since months.
In the capital (New Delhi), the rate of 10g of 24k gold is Rs.1,55,330. In Mumbai, the rate is Rs.1,55,820. In Chennai, the rate is Rs.1,56,090. In Kolkata, the rate is Rs.1,55,505.
At present, people are taking more and more gold loans from banks because gold prices are very high. Banks are offering loans of up to 85% of the value of the gold. Click here to calculate EMI of Gold Loan
Why is Gold Price not decreasing in India?
Gold prices are not decreasing in India because many strong reasons are supporting gold prices at the same time.
Around the world, people buy gold during times of uncertainty because gold is considered a safe investment. Due to wars, geopolitical tensions, economic slowdown fears, banking concerns, and inflation worries, investors are continuously buying gold globally.
Recently, tensions in the Middle East and uncertainty in the global economy have increased demand for gold. Another major reason is that central banks of many countries, including the Reserve Bank of India, are increasing their gold reserves.
Central banks are buying large amounts of gold because they want safer reserves instead of depending too much on the US dollar.
Continuous buying by central banks is keeping global gold prices high. Gold prices are also rising because of inflation. When inflation increases, the value of money decreases.
In such situations, people invest in gold to protect their savings. Many investors believe gold holds its value better during inflation and economic uncertainty.
In India, the weak Indian Rupee is another important reason. India imports most of its gold from other countries. When the Rupee weakens against the US dollar, imported gold becomes more expensive. Even if international gold prices remain stable, gold prices in India can still rise because of the weaker Rupee.
Demand for gold in India also remains very high. People buy gold during weddings, festivals, and for investment purposes. Nowadays, people are also investing through digital gold, gold ETFs, and gold funds, which has increased investment demand further.
Another important reason is that gold is now seen not only as jewellery but also as a financial asset. Investors across the world are shifting money into gold because they feel it is safer during uncertain times.
Experts believe that due to strong central bank buying, global tensions, inflation fears, and continuous investor demand, gold prices may remain strong for a long time, even though short-term ups and downs can happen.
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