The cost of gold in Dubai remained unchanged in the morning trading session on Wednesday, January 25. However, buyers from India may have to pay a higher cost for the precious yellow metal due to the fluctuating exchange rates between Indian Rupee (INR) and Arab Emirates Dirham (AED). As of 10:40 am on Wednesday, Dh 1 was valued at Rs 22.05.
According to Gold and Jewellery Group’s data, a gram of 24-carat gold in Dubai, also known as the City of Gold, costs Dh 234 or Rs 5,200.30. The price of the 22-carat variety for the same quantity was Dh 216.75 or Rs 4816.94. In the morning session on Wednesday, the rate of 21-carat and 18-carat gold traded at Dh 209.75 or Rs 4662.45 and Dh 179.75 or Rs 3,995.59 in the UAE.
An ounce of yellow metal in Dubai cost Dh 7,094.11 or Rs 1,57, 661.49. A kilogram of silver, on the other hand, cost Dh 2787 or Rs 61,943.89.
Dubai is a preferred destination for buying gold for people across the globe. Dubai gold markets like Baniya Street, Meena Bazaar, and Gold Souq in the Gulf Tiger are popular among buyers thanks to the wide variety of designs and lower prices that these places offer.
Gold prices in Dubai are lower than in most parts of the world because of a slew of factors that include the UAE government’s decision to not levy any tax on the purchase of gold ingots or bars.
The 5 per cent value-added tax (VAT) on gold jewellery is among the lowest in the world. This, too, is exempted for tourists once they present their foreign passports.
Dubai manages to keep the prices low also because of the cheap labour available in the country. The lower labour cost results in comparatively low making charges bringing the price of gold ornament down.
Since the gold Dubai market is well regulated, it offers quality assurance to customers. Sellers are required to furnish hallmark certificates to buyers in case they ask. Failure to do so may result in legal action against the sellers. Regular inspections are carried out at gold stores to check for malpractices.
However, Indians planning to buy gold from Dubai must note that the government imposes heavy taxes on the import of gold into the country. The Indian government has also capped the amount of gold a person can bring into the country from Dubai.
Read all the Latest Business News here
Comments
0 comment