Economic Survey 2025: According to the Economic Survey 2025 in Parliament, the government has predicted a fall in gold prices in the year 2025 and an increase in silver prices. The forecast is based on the World Bank’s ‘Commodity Markets Outlook’ report for October 2024. According to the report, commodity market prices may fall by 5.1% in 2025 and 1.7% in 2026. This fall will be mainly due to crude oil breakdown. However, rising prices of natural gas and prices of metals and agricultural products can some extent compensate for this decline.
Silver price is likely to increase
According to the Economic Survey, there is a possibility of falling in the price of gold and an increase in silver price. Apart from this, the price of metals and minerals may decrease due to fall in prices of iron and zinc. Many essential items are imported in the country. According to the survey, the decline in the prices of goods can be positive for domestic inflation. This will reduce import costs and benefit the country’s economy.
Gold demand and impact on foreign exchange reserves
In 2024, there has been a change in foreign exchange reserves due to increasing global uncertainty. The level of gold reserves in 2024 will reach the highest level after World War II. The main reason for this will be a large -scale procurement of gold by central banks of rapidly growing economies. The reason for the increase in gold imports in India is also a global price of gold prices, prior to festivals and safe investment options.
Dollar dependence decreased
According to the IMF, the global foreign exchange reserves system is gradually changing. Dollar dominance is decreasing and the role of non-traditional currencies is increasing. The survey suggested what impact on investors’ sentiments may have due to an estimated fall in gold prices. In contrast, the bullion market may be excited with the hope of increasing silver prices.
