A stunning surge in global gold prices — up more than 50% so far in 2025 — is proving to be a windfall for Pakistan’s reserves, with official estimates suggesting the value of Pakistan’s gold holdings has risen to around $9 billion, said Mohammed Sohail, CEO of Topline Securities.
The surge has lifted the country’s total reserves, including liquid foreign exchange, to roughly $23 billion, close to an all-time high, the analyst said in a post on social media platform X.
The shift marks a striking turnaround in the composition of Pakistan’s reserve assets. Historically, gold accounted for about one-third of the country’s liquid reserves over the past decade.
“Now, it’s closer to two-thirds — a major shift, reflecting how global gold strength is reinforcing Pakistan’s external buffers,” added Sohail.
According to the State Bank of Pakistan (SBP), Pakistan’s total liquid foreign reserves stood at $19.81 billion, the latest data revealed.
Meanwhile, gold rates have been on a record-breaking spree recently, driven by heightened geopolitical tensions.
“Physical gold and silver remain in short supply worldwide,” Adil Saleem, Founder and CEO at Zariah, wrote in his weekly newsletter.
“The squeeze on available metal is pushing prices higher, while investor positioning still looks cautious. At the same time, demand for physical gold through ETFs [exchange traded funds] continues to rise, draining liquidity from global vaults,” he wrote.
Besides gold, silver prices in Pakistan have also surged significantly over the past three months, closely tracking the global upward trend driven by geopolitical uncertainty and investor demand.
The precious white metal has gained 27% in the local market, rising from Rs4,012.76 to Rs5,100 per tola last week, while international prices climbed 32.9% over the same period, and are currently trading above $50 per ounce.
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