Great question! Gold prices in Nepal — like elsewhere — are at or near record highs in 2024–2025, and here’s why:

Reasons Gold Price is at Record High in Nepal

1. Global Gold Price Surge

• Gold prices are soaring globally, nearing or crossing $2,300 per ounce (in 2025).
• This global rally directly affects Nepal since we import gold based on international market rates.

2. Weak Nepali Rupee (NPR) Against USD

• The gold price in Nepal is calculated in NPR, but the international price is in USD.
• When the Nepali rupee weakens (e.g., crosses Rs. 133-135/USD), gold becomes more expensive locally.

3. High Import Duties & VAT

• Nepal imposes custom duty and VAT on gold imports.
• Total import taxes can increase the local price by 10–15% or more compared to international prices.

4. Safe-Haven Demand

• In uncertain times (inflation, wars, recession fears), investors flock to safe assets like gold.
• Global tensions (Russia-Ukraine, Middle East) and economic slowdowns have pushed more people into gold.

5. Limited Supply in Nepal

• Nepal’s gold supply is regulated and limited by quotas.
• When demand is high (e.g., wedding season, festivals) and supply is limited, prices shoot up even more.

6. Inflation Hedge

• Both in Nepal and globally, inflation has been high in recent years.
• Gold is seen as a store of value, protecting against rising prices.

📈 Example

If global gold = $2,300/oz
Exchange rate = Rs. 135/USD
Then 1 tola (11.664g) ≈ Rs. 130,000+ in Nepal, even before taxes

Add duties & VAT → it can easily cross Rs. 140,000+ per tola

🔍 In Short:

Gold is expensive in Nepal right now because of:

1. Global price rise
2. Weak NPR
3. Taxes/import duties
4. High demand, limited supply

Whether to buy or sell gold right now depends on your financial goals, holding timeline, and market perspective. Here’s a balanced breakdown to help you decide:

🛍️ Buy Gold If:

1. You’re investing long-term (5+ years)
   Gold can still rise further due to global uncertainties, inflation, and currency devaluation.
2. You want a hedge against inflation or market volatility
   Gold acts as a safe-haven asset in global crises.
3. You’re building a diversified portfolio
   Gold (5–10% of your portfolio) offers protection in market downturns.
4. You believe geopolitical tensions will continue
   Wars, elections, and banking instability fuel gold demand.

💰 Sell Gold If:

1. You bought at a much lower price and want to book profits
   If you’re sitting on significant gains, this might be a good time to lock in profits.
2. You need cash/liquidity for other investments or needs
   Gold prices are at a record — great opportunity to convert into cash or invest elsewhere.
3. You think the price has peaked (technically or sentimentally)
   Some investors expect correction after a sharp rally.

📈 Expert Tip:

If you’re unsure, consider partial selling — book some profits now and hold the rest for further upside.