CAIRO: Domestic gold prices rose by 3 EGP ($0.38) per gram Thursday, shadowing the precious metal’s rebound on global markets, head of the Gold Division at the Federation of Egyptian Chambers of Commerce announced.
“Twenty-one carat gold was priced at 262 EGP per gram ($33.45,) while 18 carat was sold at 224.6 EGP. The 24 carat was at 299.4 EGP,” Amin Wassef, told Youm7 Thursday.
On Thursday, global gold prices rebounded from a five-year low to breach above $1,100 per ounce, as traders tended to make advantage of a slip in the dollar to buy back into the market, Reuters reported.
Meanwhile, domestic gold prices yet remain 20 EGP up from the global prices despite the precious metal’s sharp slip over the past few weeks.
“A difficulty in importing some raw materials, including the gold ore caused a remarkable decline in domestic supply, while demand soared, posing a threat to gold workshops suffering low turnout,” Wassef explained.
A shortage in dollars stood behind gold manufacturers’ inability to import the raw materials needed for the industry since Egypt’s central bank put a $10,000 daily ceiling for cash deposits in hard currency in February as part of its fight against the dollar black market, he added.
The central bank decision deprived those exchanging their dollars outside the official market from a safe place to deposit their cash.
Egypt’s pound held steady at 7.73 per dollar in a foreign exchange auction on Tuesday, unchanged from the last sale.