Gold prices in Egypt soar amid regional tensions, currency woes: Gold Bullion

Egyptian gold prices have been rising daily due to the stability of the global gold price near $2000 per ounce and the depreciation of the Egyptian pound in the parallel market, according to Gold Bullion.

The popular 21-karat gold started trading on Monday at EGP 2,465 per gram and then increased by EGP 5 to reach EGP 2,470 per gram, while the gold pound was valued at EGP 19,720.

Gold Bullion attributed the local gold price hikes to the anticipation of more escalation in the Middle East region and the fear of a new devaluation or flotation of the Egyptian pound shortly.

The Israeli-Palestinian conflict, which started on 7 October, has pushed up the gold price by EGP 275 per gram, a 12.7% increase, as gold became a haven for investors in both global and local markets.

Another factor that affected the gold price was the downgrade of Egypt’s long-term sovereign credit rating by Standard & Poor’s from B to B- with a stable outlook on Friday.