Gold posts record price of Rs 63,300 per tola

The precious yellow metal today jumped Rs 3,400 on a single day to trade at all-time high of Rs 63,300 per tola (11.664 grams) in the domestic market, due to increased bullion price in the international market and weakening rupee.

According to Nepal Gold and Silver Dealers’ Association (NEGOSIDA), gold was traded at Rs 59,900 per tola yesterday – Rs 1,000 per tola more from a day ago – in the domestic market.

In the international market, gold was traded at $1,416.6 per troy ounce today.
The Nepali rupee stood at Rs 105.31 vis-à-vis US dollar today. The exchange rate has increased by Rs 10.85 in the last one month. On July 28, the bank had fixed the exchange rate at Rs 94.46 per dollar.  

Gold had earlier set a record price of Rs 61,850 per tola on November 4, 2012.

Likewise, silver price also increased by Rs 65 and reached Rs 11,15 per tola today. The gold traders fix the daily gold and silver prices in the local market on the basis of international price, exchange rate, customs duty and mark-up for dealers.

Meanwhile, the central bank is planning to increase the gold quota by five kg to 20 kg per day for next two months during the marriage season.

The government is also planning to increase customs duty on gold to control  gold smuggling to India as India has recently increased customs duty to Rs 4,480 per 10 grams on August 13, making gold cheaper in Nepal.
The custom duty on gold currently in Nepal stands at Rs 3,600 per 10 gram.