Al -Jazeera Net Correspondents
Cairo– In light of the high rates of inflation, the decline in the value of the Egyptian pound, and the instability of the real estate market, many Egyptians tend to be gold to be a way to protect their savings. Gold is an effective tool for hedging against the dangers of inflation and erosion of the value of the national currency, especially in light of the restrictions imposed on retaining foreign cash.
The investment return exceeds inflation
Gold in Egypt witnessed noticeable price leaps during the year 2023. For example, the average price of 21 gram of gold from 1782 pounds increased in January to 2981 pounds in December, investing an investment return of 67.4%.
Even after deducting the inflation rate of 33.7% in December of the same year, the real investment return reached 33.7%, which confirms the superiority of gold as an investment tool in that period.
According to the World Gold Council, the volume of Egyptian gold purchases during the year 2024 reached about 50.1 tons, down 12% compared to 2023.
Despite this annual decline, the fourth quarter of 2024 increased by 6% in purchases compared to the same quarter of 2023, with total purchases 12.1 tons.
Gold excels over the dollar and the property
Many Egyptian citizens and merchants agree that gold has become the best choice for saving compared to dollars and real estate.
The Egyptian Wafaa Helmy said that she preferred to buy used gold after obtaining a sum of money from selling the family’s house, considering it a safe way to save, especially in light of the continued fears of the escalation of wars in the region.
For his part, Mahmoud Abdel Hamid, a marketing manager, explained that he was keeping the dollar as a way to protect his savings, but he turned into gold after the liberalization of the exchange rate and the dollar exceeded the barrier of 50 pounds, indicating that gold prices are witnessing a continuous rise, which makes it a better option for saving.
Many investors are preferred to buy alloys and gold used to avoid losing the value of the manufacturer when selling. In this regard, Mohamed Hussein, director of a gold store in 6th of October City, notes that the alloys are considered safer and hurry to re -sell compared to golden artifacts.
He also pointed out that the rise in gold prices affected the size of the network that the grooms buy, as buying a small amount of golden artifacts has become a large amount of money.
Safety investment
Some merchants believe that investing in gold has become safer than real estate, especially with some real estate development companies not committing to delivery dates and increasing unit prices before delivery.
While Islam Abu Al -Dahab advised a partner in one of the gold shops in Giza Governorate, not to buy diamonds with the aim of saving and investing, because it loses between 10% to 25% of its value annually, due to the difficulty of reselling it.
Gold prices in Egypt until Saturday, April 12, 2025
According to the data of the “ija’a” website, gold prices in Egypt recorded today:
24: 5360 pounds per gram
Caliber 21: 4690 pounds for gram
18: 4020 pounds per gram
Gold pound: 37 thousand and 520 pounds
It is noted that gold prices are witnessing a continuous rise, which reflects the increase in demand as a safe haven, in light of the unstable economic conditions.
