Commodities and Futures News

‘Silver is the new gold’ as Egyptians try to protect savings

2024.02.08 07:37


© Reuters. A boy appears at silver equipment on show at a jewelry store in a market in Cairo, Egypt, January 21, 2018. REUTERS/Mohamed Abd El Ghany/File Photo

By Sarah El Safty and Farah Saafan

CAIRO (Reuters) – Egyptian girls historically obtain a gold jewelry set, or “shabka”, on their engagement. But as surging costs and a weakening forex have pushed up demand for the treasured steel, some are getting silver as an alternative.

The pattern is a measure of an financial disaster during which inflation has been operating at greater than 30% and the central financial institution has allowed the forex to weaken 50% in opposition to the greenback, with extra devaluation anticipated.

“Silver is the new gold,” mentioned a salesman at a Cairo silver retailer who solely gave his first title, Abanob.

In the 12 months to Jan. 30, the worth of a gram of 21 carat gold rose greater than 120% to 3,875 Egyptian kilos ($126), information from the Federation of Egyptian Chambers of Commerce confirmed.

Demand for gold cash and bars surged practically 58% from 2022 to 2023, in accordance to the World Gold Council’s annual report.

Eman Mahmoud, a 51-year-old mom of three, mentioned she had to go for silver when shopping for jewelry for a buddy’s new child.

“A small 18-carat earring weighing less than a gram is more than 3,000 pounds. I can’t afford that as a gift anymore so I bought a silver necklace for around 1,900,” she mentioned.

“It’s not the same, I know, but it still has value.”

Those who can have sought security in overseas forex or property.

But the black market fee to purchase {dollars} jumped as excessive as 71 Egyptian kilos final month, in opposition to an official fee of 30.85, earlier than dipping beneath 60 kilos in current days amid hopes of extra IMF financing and Emirati funding.

And in a rustic the place some 60% of the 105 million inhabitants is estimated to be beneath or shut to the poverty line, few can afford to put money into high-end property the place gross sales have been booming.

The worth of 1 gram of silver greater than doubled in a 12 months however at about 47 Egyptian kilos, it stays far cheaper than gold.

Ramy Zahran, an 18-year-old highschool scholar who needs to work in the silver enterprise like his uncle, purchased silver bullion for 31 kilos per gram little over half a 12 months in the past.

“My money would get me only 10 grams of gold,” he mentioned.

($1 = 30.8500 Egyptian kilos)

Source link

Related Articles

Back to top button
bitcoin
Bitcoin (BTC) $ 44,815.01 4.43%
ethereum
Ethereum (ETH) $ 2,424.09 2.61%
tether
Tether (USDT) $ 1.00 0.08%
bnb
BNB (BNB) $ 316.98 4.79%
solana
Solana (SOL) $ 101.58 6.72%
xrp
XRP (XRP) $ 0.514373 2.50%
usd-coin
USDC (USDC) $ 1.00 0.01%
staked-ether
Lido Staked Ether (STETH) $ 2,428.03 2.72%
cardano
Cardano (ADA) $ 0.529775 11.39%
avalanche-2
Avalanche (AVAX) $ 35.40 3.52%
dogecoin
Dogecoin (DOGE) $ 0.079978 1.93%
chainlink
Chainlink (LINK) $ 18.71 2.12%
tron
TRON (TRX) $ 0.122304 1.12%
polkadot
Polkadot (DOT) $ 6.91 3.04%
matic-network
Polygon (MATIC) $ 0.831943 4.73%
the-open-network
Toncoin (TON) $ 2.06 0.82%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 44,683.97 4.14%
internet-computer
Internet Computer (ICP) $ 12.32 3.36%
shiba-inu
Shiba Inu (SHIB) $ 0.000009 3.75%
litecoin
Litecoin (LTC) $ 68.76 1.31%
dai
Dai (DAI) $ 0.999934 0.07%
uniswap
Uniswap (UNI) $ 6.35 1.55%
bitcoin-cash
Bitcoin Cash (BCH) $ 242.66 3.27%
leo-token
LEO Token (LEO) $ 4.08 1.25%
cosmos
Cosmos Hub (ATOM) $ 9.52 2.90%
ethereum-classic
Ethereum Classic (ETC) $ 25.34 3.87%
optimism
Optimism (OP) $ 3.37 3.23%
celestia
Celestia (TIA) $ 19.52 11.66%
stellar
Stellar (XLM) $ 0.109738 2.18%
immutable-x
Immutable (IMX) $ 2.27 4.29%
near
NEAR Protocol (NEAR) $ 2.93 8.36%
aptos
Aptos (APT) $ 8.83 3.25%
injective-protocol
Injective (INJ) $ 33.46 3.74%
okb
OKB (OKB) $ 48.46 1.34%
kaspa
Kaspa (KAS) $ 0.126686 18.34%
bittensor
Bittensor (TAO) $ 440.54 8.58%
first-digital-usd
First Digital USD (FDUSD) $ 1.00 0.19%
filecoin
Filecoin (FIL) $ 5.17 3.42%
hedera-hashgraph
Hedera (HBAR) $ 0.077011 6.26%
lido-dao
Lido DAO (LDO) $ 2.85 0.58%
blockstack
Stacks (STX) $ 1.74 16.08%
arbitrum
Arbitrum (ARB) $ 1.89 3.69%
monero
Monero (XMR) $ 124.26 3.53%
crypto-com-chain
Cronos (CRO) $ 0.084983 4.80%
vechain
VeChain (VET) $ 0.02907 4.76%
mantle
Mantle (MNT) $ 0.608618 2.37%
maker
Maker (MKR) $ 1,940.00 0.83%
sui
Sui (SUI) $ 1.53 0.11%
render-token
Render (RNDR) $ 4.49 4.14%
sei-network
Sei (SEI) $ 0.641164 9.00%