Why Gold Rate is Increasing in India? | Kota Gold

Why Gold Rate Is So High in India 2025: Key Reasons Explained

Gold has usually held a unique place in India — not just as jewellery, but as a depended-on investment. In 2025, many people are thinking, "Why is the gold price increasing a lot?" From global financial changes to local demand, several key factors are causing the gold price in India to reach record levels.

1. Global Economic Uncertainty

When worldwide markets face instability, investors shift closer to safer assets like gold. This rising demand pushes the gold price higher. Factors including inflation, currency fluctuations, and global conflicts have played a major role in the gold price today.

2. Indian Festive and Wedding Demand

India is one of the largest consumers of gold. During the marriage and festive seasons, the demand for gold jewellery increases sharply. This surge in demand leads to a gold price increase across cities, including the gold rate in Coimbatore.

3. Rupee Value and Import Costs

India imports most of its gold. When the value of the rupee falls against the US dollar, the 24k gold price per gram and the 22k gold price per gram also rise. This directly impacts the gram of gold rate in the market.

4. Investment Demand in 2025

With growing inflation and volatile stock markets, more people are turning to gold investments for safety. This additional demand pushes prices up further.

5. Central Bank Policies and Interest Rates

Low interest rates make non-interest-bearing assets like gold more attractive. When central banks reduce interest rates, investors prefer gold — causing the gold rate to climb even higher.

Gold Price Today in Coimbatore

In cities like Coimbatore, the gold price reflects both global and local trends. Whether it’s the 22k gold rate per gram or the 24k gold rate per gram, prices are updated daily. If you’re planning to buy or invest, staying informed about the current gold rate per gram is essential.

Where to Buy Trusted Gold in Coimbatore

If you’re looking to buy quality gold at transparent prices, visit Kota Gold, one of the most trusted gold jewellery stores in Coimbatore. Here, you can get the latest gold price today and explore a wide variety of jewellery and investment options.