SAUDI ARABIA : Saudi consumers bought a staggering 11.5 tonnes of gold jewellery in the first three months of 2025—up from 8.5 tonnes in Q1 2024—according to the latest update from the World Gold Council. This 35% spike comes even as gold prices soared to an all-time high of $3,500 an ounce last week, before easing to $3,313.

In sharp contrast, jewellery demand fell across most major markets. The UAE saw an 18% year-on-year decline, from 9.6 tonnes in Q1 2024 to 7.9 tonnes in Q1 2025. China and India—traditionally strong gold markets—also saw dips in consumer buying, down to 125.3 tonnes and 71.4 tonnes respectively.

Andrew Naylor, Head of ASEAN Markets and Public Policy at the World Gold Council emphasized that the bullish sentiment plays a key role in consumer spending, especially in the jewellery market and that’s probably the main reason why Saudi gold consumers bucked the global trend.

Unlike the UAE, where tourist spending influences gold sales, Saudi Arabia’s jewellery market is powered primarily by local demand, despite the additional 15% VAT.

Globally, Q1 2025 saw a 21% drop in gold jewellery demand to 380.3 tonnes from 480.1 tonnes a year ago. The soaring price of gold impacted affordability, yet the total value of jewellery sales rose 9% to $35 billion—signalling that many consumers were still willing to stretch their budgets.

For all the latest news from Oman and GCC, follow us on Twitter, Instagram and LinkedIn, like us on Facebook and subscribe to our YouTube page, which is updated daily.