Egypt’s demand for gold shoots up 300% in Q2 of 2023

Egypt’s demand for gold bars and coins surged more than 300 percent year-on-year to over 10 tons in the second quarter of 2023, according World Gold Council’s (WGC) report on Tuesday.

Egypt has been the most important contributor to the growth of investments in gold bullion and coins in the Middle East, accounting for nearly a third of the region’s total demand of 32 tons, the report added.

The report showed that Egypt’s total gold demand for the first half of 2023 is close to the annual total for 2022, as Egyptians resort to the yellow metal as a safe haven to hedge against inflation exacerbated by the depreciation of the local currency.

Gold prices have stabilised since the beginning of July, as 24-carat reached 2,445.75 Egyptian pound per gram on Monday, July 31, down 7.7 percent from June 1.