Bangladesh gold prices ease after record surge

  • Abdur Rahim Harmachi, Chief Economics Correspondent, bdnews24.com
    Published: 2020-08-13 03:08:41 BdST

bdnews24

The jewellers in Bangladesh have slashed prices of gold after pushing the precious yellow metal’s prices to all-time highs.

They will sell the best quality of gold, or 22 carat, at Tk 3,499 less per Bhori (1 Bhori = 11.664 grams) than the current price from Thursday, Bangladesh Jewellers Samity or Bajus announced on Wednesday. 

New gold prices (per Bhori):

22 carat – Tk 73,716

21 carat – Tk 70,567

18 carat – Tk 61,819

For the traditional method, in which gold is acquired from old ornaments with no agreed standards of purity, the price has been fixed Tk 51,497 per Bhori.

In the international market, gold swung from being down 2.5 percent to adding 0.8 percent to $1,925.63 an ounce, a day after it suffered its biggest daily fall in seven years.

Generally Bajus raises or cuts gold prices by around Tk 1,500 per Bhori.

But the association raised gold prices by up to Tk 5,715 a Bhori on Jun 22, a further Tk 3,000 on Jul 24, and by Tk 4,432 to Tk 77,216 per Bhori for the last time on Aug 5.

Bajus General Secretary Dilip Kumar Agarwala told bdnews24.com that they made the decision to lower the prices in order to attract customers amid the coronavirus crisis even though the prices in the international market were volatile.

Sales have dropped almost to zero at the jewellery shops in Bangladesh as gold prices have skyrocketed shattering all records amid the coronavirus crisis, but the stores are still open mainly to buy gold ornaments.

Many families are selling their ornaments because the high prices have come as a lucrative offer along with the fact that the pandemic has caused devastating job losses and pushed income down.