Gold Prices May Soar to ₹2.5 Lakh in Five Years – Here’s What Could Drive the Surge
Gold prices in India have been on a relentless upward trajectory over the past few years, with no signs of slowing down. Not long ago, the precious metal was trading at around ₹50,000 per 10 grams. Today, the price is inching close to the ₹1 lakh mark. As of July 2025, 24-carat gold in Delhi is priced at ₹1,02,640 per 10 grams, while 22-carat gold is selling at nearly the same rate. Similar prices are being observed across most major Indian cities.
The big question now is—how high can gold go in the coming years? If expert projections are anything to go by, the yellow metal could touch an astonishing ₹2.25 lakh to ₹2.5 lakh per 10 grams within the next five years.
A Decade of Unstoppable Growth
Looking back, gold’s growth story is impressive. About six years ago, in 2019, the price of gold hovered around ₹30,000 per 10 grams. Between 2019 and 2025, prices surged nearly 200%, translating to an average annual rise of around 18%. If this growth momentum continues, the metal could potentially more than double in value by 2030.
Such a steep rise isn’t unprecedented. Historically, gold has acted as a safe-haven asset during times of economic and geopolitical uncertainty. The latest price boom is a direct result of multiple global events that have rattled financial markets.
Why Gold Prices Are Rising
Experts point to a combination of factors driving this surge:
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Geopolitical Tensions: The ongoing Russia-Ukraine war and the escalating Iran-Israel conflict have heightened uncertainty in global markets.
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Pandemic Aftershocks: The economic fallout from COVID-19 continues to impact investment strategies worldwide.
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Global Economic Uncertainty: Inflation concerns, fluctuating currency values, and recession fears have pushed investors toward safe-haven assets like gold.
When global tensions rise, investors tend to move their money into gold, increasing its demand and, in turn, its price. In April 2025, for instance, gold on the Multi Commodity Exchange (MCX) touched ₹1,01,078 per 10 grams, underlining its resilience as an investment choice.
Could Prices Stabilize?
While the long-term outlook for gold remains bullish, some analysts believe prices might stabilize in the short term. One reason is China’s cautious stance on gold investments—its insurance sector has allocated just 1% of total assets to the precious metal. Additionally, several central banks have reportedly slowed down their gold purchases.
This means that if no significant international crisis emerges in the near future, the current price rally could lose momentum. Much will depend on global economic trends, interest rate movements, and geopolitical developments.
What It Means for Investors
For investors, the next few years could be a critical period to watch. Those who already hold gold may benefit significantly if the projected price levels materialize. On the other hand, new buyers must weigh the risk of short-term fluctuations against the possibility of substantial long-term gains.
Financial advisors often recommend keeping a portion of one’s portfolio in gold, especially during times of uncertainty. Whether through physical gold, exchange-traded funds (ETFs), or sovereign gold bonds, exposure to this asset class can help balance investment risks.
In short, if the current trend continues, gold could become significantly more expensive by 2030, turning today’s prices into a bargain in hindsight. But as with all investments, caution and informed decision-making are key.
