Gold price likely to double in 5 years

The price of gold in the international market seems to be setting new records one after another. The price of this precious metal has been continuously rising in the past few years. Although there have been occasional minor fluctuations, the trend of its price increasing in the long term is clear. In 2020, the price of gold per ounce was about 1,585 US dollars, and currently it is more than 4,500 dollars.

Price likely to almost double in five years

As the purchasing power of money decreases due to inflation, people look for investments that can maintain the value of their assets. Although depositing money in the bank earns interest or profit, the interest rates of central banks in many countries of the world are currently relatively low. As a result, investors are increasingly leaning towards gold as a safe asset. As demand increases, its price is naturally also increasing.

A study by economists at Deutsche Bank has mentioned that central banks in different countries of the world are gradually increasing their gold reserves. Emerging economies, particularly China, Russia, India and Turkey, are buying significant amounts of gold. If this trend continues, the price of gold could reach around $8,000 per ounce by 2031, almost double the current price.

Deutsche Welle reports.