Whether you buy gold for use or for sale, you’ll need to confirm the current market price of this precious metal from time to time. This will help you keep abreast of market trends and make well informed buying and selling decisions.
Here, I’ll be sharing with you links to two websites that provide up-to-date and very reliable information about the latest prices on gold in Nigeria.
1. Gold Price Network
This website is a free service that provides daily reports about gold price in Nigeria per ounce, gram, and kilogram in different carat grades — 24k, 21k, 18k, 14k, and 10k.
To get the latest gold price in Nigeria from Gold Price Network, visit the link below or copy and paste it in your browser:
2. Gold Rate 24
This is another website that shows latest gold rates in Nigeria per ounce, per gram, per kilogram, and per tola. The prices on the website are updated every 30 minutes.
In addition this website also displays the prices of Silver in Nigeria. So, if you’re a dealer in silver, too, you can keep abreast with latest silver prices on this website.
To visit Gold Rate 24, follow the link below or copy and paste it in your browser:
NOTE: It is advisable to double-check the prices by visiting both websites.
Gold Price in Nigeria: Determinant Factors and History of Prices
In recent times, there has been a growing awareness about gold and many are quickly embracing gold as a really valuable asset.
Taking a trip down memory lane, the production of gold in Nigeria began in 1913 and peaked in the 1930s.
However, there’s currently no large scale production of gold anywhere in the country. And this means that the available gold in the country is a combination of supply from external and internal sources.
Often times, people interested in the gold market often ask about the things that determine the price of this commodity. And we’ve decided to answer this question in this article by taking a cursory look at these determinants and how they’ve affected gold prices over the years
Below are some of the major determinants of gold prices particulaly in Nigeria.
In situations where there’s an ongoing financial crisis, people tend to lack confidence in the governments as well as the financial markets, and one commodity that responds to this is gold, with its price going up.
Also, people often see gold as a safety option during this period which leads to an increased demand causing a higher price of this commodity. Other factors relating to financial crises such as inflation and currency devaluation have also been linked to an upsurge in the price of gold.
The U.S dollar
Although the dollar is not a Nigerian currency, it still maintains a major influence on the country’s economy. As a result a strong dollar is seen by gold investors as a buying opportunity because of the perceived influence of a strong dollar increasing the value of gold.
Another important determinant of the price of gold is the interest rate in banks. Unlike the treasury bill or fixed deposit account, having gold doesn’t come with interest however the price is often a reflection of the current interest rates. For example, as interest rates generally increase, the price of gold tends to decrease. On the other hand, low interest rates often mean a greater attraction to gold by investors.
The Central Bank of Nigeria
The Central Bank of Nigeria has reserves in not just foreign currency but in gold as well. As a result, situations where the government decides to buy more gold in order to increase its reserve of gold can lead to an increase in the price of gold in the market.
The price of gold is also influenced by jewelries because a significant proportion of gold exist in these ornaments. Usually when there’s a lot of money in the economy, people tend to spend more on these jewelries leading to a significant increase in their price of not just these jewelries but gold as well.
Also, the production cost of gold can influence the price. Even though, the production cost may only affect the currently mined gold, it doesn’t change the fact that this can influence the overall market price of gold.
It was reported that during the Second World War that many gold mines in Nigeria were abandoned. This greatly diminished the available gold in the country leading to higher prices.
Overall, gold is a really valuable commodity that can become an asset for you if you can understand the dynamics of its pricing.