Gold per tola plunges Rs3,800 in Pakistan as global prices slide

Key facts

• 24-karat gold per tola fell by Rs3,800 to Rs479,962 on May 5, 2026.
• 10 grams of gold decreased by Rs3,257 to Rs411,490.
• International gold prices dropped $38 per ounce to $4,576.
• 24-karat silver per tola declined by Rs100 to Rs7,914.
• the domestic price changes.
• Silver prices followed the same downward trend in both local and global markets.

Sharpest decline in months hits Pakistani gold market

Gold prices in Pakistan recorded their steepest single-day drop in recent months on Tuesday, with the price of 24-karat gold per tola falling by Rs3,800 to settle at Rs479,962. The decline, reported by the All Pakistan Sarafa Association, also saw the price of 10 grams of gold drop by Rs3,257 to Rs411,490. The slide was not confined to domestic markets. Internationally, gold prices fell by $38 per ounce, reaching $4,576, reflecting a broad sell-off in precious metals. Silver followed suit, with 24-karat silver per tola declining by Rs100 to Rs7,914 in Pakistan.

Domestic and international markets move in tandem

The simultaneous decline in both local and global markets underscores the interconnected nature of precious metal pricing. Pakistan's gold rates are heavily influenced by international benchmarks, with the rupee-dollar exchange rate and import duties adding local variations. The All Pakistan Sarafa Association, which sets daily bullion rates based on global trends and local demand, confirmed the reductions. The association's data showed that the drop was consistent across all purities, with 22-karat and 18-karat gold also seeing proportional decreases.

Silver prices also take a hit

Silver, often seen as a more volatile cousin to gold, experienced a similar downturn. The price of 24-karat silver per tola fell by Rs100 to Rs7,914, according to the same association. In international markets, silver prices also declined, though the exact figures were not immediately available. The coordinated drop in both metals suggests a broader shift in investor sentiment away from safe-haven assets, possibly driven by improving economic outlooks or rising interest rates in major economies.

Market context and investor implications

The decline comes after a period of relative stability in gold prices, which had hovered around Rs483,000 per tola in recent weeks. For investors and jewelers, the sudden drop represents both a risk and an opportunity: those holding gold may see short-term losses, while buyers could find entry points at lower prices. Pakistan's gold market is particularly sensitive to global cues due to the country's reliance on imports. Any sustained downturn in international prices could ease pressure on the current account deficit, though domestic demand typically rises during wedding seasons and festivals.

What comes next for gold in Pakistan

Analysts will be watching whether the decline continues or if prices rebound in the coming days. The All Pakistan Sarafa Association is expected to release updated rates on Wednesday, which will indicate whether the trend is stabilizing. For now, the sharp drop has caught the attention of traders and consumers alike, with many awaiting further guidance from international markets. The coming weeks will reveal whether this is a temporary correction or the start of a longer-term trend.

The bottom line

• Gold per tola in Pakistan dropped Rs3,800 to Rs479,962 on May 5, 2026.
• International gold fell $38 per ounce to $4,576, driving the domestic decline.
• Silver per tola decreased by Rs100 to Rs7,914 in local markets.
• all domestic price changes.
• The decline reflects a global sell-off in precious metals, potentially linked to economic shifts.