Gold Crosses Rs. 1 Lakh Per Tola in Nepalese Market as Investors Flock to Safe Havens for Their Wealth

The price of gold in the Nepalese market crossed the 1 Lakh ceiling per tola and made a historic high today.

According to the official website of the Federation of Nepal Gold and Silver Dealers' Association (FENEGOSIDA), fine gold is being traded at Rs. 1,01,400 per tola in the local market while tejabi gold is being traded at Rs. 1,00,900 per tola. Meanwhile, silver is also being traded alongside at Rs. 1,295 per tola.

This is a result of investors flocking to safe havens and demanding more gold since it is deemed safer than other assets during times of economic turbulence. The price of gold in Nepal has further been hiked by the added customs duty on precious metals to generate more revenue at a time when other sectors are struggling to produce income.

This price hike is in sync with the international market. December gold futures jumped to a new all-time high of $2,024.40 an ounce on Tuesday in the international market. Meanwhile, spot prices climbed above $2,000 for the first time, trading at $2,004.20 an ounce. This is a primary reason why gold witnessed a surge in the Nepalese market as well. 

Meanwhile, the US Dollar can be exchanged with NRs. 119.72 today according to the international exchange rate.