Here’s why silver is becoming Pakistan’s new favourite investment.

Once thought to be a common and reasonably priced metal, silver is currently in high demand in Pakistan’s investment sector.

Silver has become the new favourite among investors as its price and usage more than doubled over the past three months.

Silver is now also being sold on the black market, according to brokers, as purchasers scramble to acquire the metal due to its sharply rising costs.

People purchasing kilogrammes of silver

Silver, which was once traded in small amounts, is now being bought in 10-tola bars and even one-kilo bricks, according to market analysts.

Muhammad Haroon Linden, a local broker in Karachi, stated, “You might be shocked to learn that people are now purchasing silver like cars — in large quantities and with advance payments.”

The pattern was corroborated by jeweller Fazal Habib, who pointed out that silver is being purchased similarly to expensive goods. Another jeweller, Muhammad Iqbal, said the buying frenzy is not like anything that has been witnessed in years.

Why silver prices are skyrocketing over the world

Rising global demand, particularly from China, India, and European nations that are buying more silver than normal, is the reason given by analysts for the price increase.

Experts claim that silver’s industrial use has grown significantly, especially in electric and electronic equipment, where its cheaper cost is displacing platinum.

Due to this worldwide change, silver is now one of the most sought-after commodities on global markets, driving local prices to all-time highs.

Inside the silver market in Karachi

A merchant in the bullion market of Karachi clarified, “This bar in my hand is raw silver.” It is currently worth Rs5,850. This bar is used to make one-kilo bricks, 10-tola bars and silver cookies. The price per tola has increased to Rs6,400 after manufacturing, stamping, and guarantee expenses were included.

Silver is now both a profitable and risky investment due to its rapid price increases; traders refer to it as a “game of patience.”

Is buying silver a smart idea?

Although silver prices are rising rapidly, experts and goldsmiths warn that silver is still a long-term investment that needs patience and stable markets.

One dealer stated, “Silver is not a get-rich-quick investment, but its demand in manufacturing and technology is growing.” “Those who keep it for a long time benefit from it.”