Gold Price in Nepal Today

Types of Gold in Nepal

Gold in Nepal is primarily sold in two forms based on purity:

• Fine Gold (Chhapawala) — 99.99% pure (24 karat) gold. Sold as stamped bars and coins with a hallmark. This is the investment-grade gold preferred for savings and is slightly more expensive.
• Tejabi Gold — 99.50% pure gold, chemically refined. This is the standard gold used by jewelers to make ornaments and jewelry. Most gold jewelry in Nepal is made from Tejabi gold.

When purchasing gold jewelry, remember that the making charge (jyala) is added on top of the gold rate. Making charges vary from 8% to 20% depending on the complexity of the design and the jeweler.

About FENEGOSIDA

FENEGOSIDA (Federation of Nepal Gold and Silver Dealers Association) is the official body that determines daily gold and silver rates in Nepal. Established as an umbrella organization of gold and silver dealers, FENEGOSIDA publishes rates every morning based on international bullion market prices, the prevailing USD/NPR exchange rate, import duties, and local market conditions.

All authorized gold dealers in Nepal follow FENEGOSIDA's published rates. The federation works closely with Nepal Rastra Bank to regulate the gold trade and prevent illegal gold smuggling.

Gold Measurement in Nepal

In Nepal, gold is measured in Tola, a traditional South Asian unit of weight. The key conversions are:

• 1 Tola = 11.664 grams
• 1 Tola = 0.375 troy ounces
• 10 Tola = 116.64 grams
• 1 kg = 85.735 Tola

Factors Affecting Gold Price in Nepal

The price of gold in Nepal is influenced by multiple domestic and international factors. The most significant driver is the international gold spot price, which is determined on global commodity exchanges such as COMEX and the London Bullion Market. Since Nepal imports virtually all of its gold, the USD/NPR exchange rate plays a critical role – when the Nepali Rupee weakens against the US Dollar, gold prices in Nepal rise even if international prices remain stable. Import duties and taxes imposed by the Nepal government further add to the final retail price.

Seasonal demand also significantly impacts gold prices. During major Nepali festivals like Dashain, Tihar, and Teej, as well as the wedding season, demand for gold jewelry surges, often pushing prices higher. Additionally, global economic uncertainty, inflation rates, central bank policies, and geopolitical tensions can cause fluctuations in gold prices worldwide, which are reflected in Nepal's domestic market.

Gold as Investment in Nepal

Gold has been a traditional savings and investment vehicle in Nepal for generations. Many Nepali families view gold as a store of value and a hedge against inflation, often purchasing gold jewelry and coins as a form of financial security. The concept of "sun ko sikka" (gold coins) as savings is deeply embedded in Nepali financial culture. Gold is measured in tola in Nepal, with 1 tola equaling 11.664 grams, and most transactions at jewelry shops are quoted per tola.

When buying gold for investment purposes, it is advisable to purchase hallmarked gold from authorized dealers. Nepal has established hallmarking standards to certify the purity of gold, helping consumers avoid fraud. Fine gold (Chhapawala) at 99.99% purity is the preferred choice for investment, while Tejabi gold is more commonly used for jewelry making. Investors should also consider the making charges (jyala) when purchasing jewelry, as these charges are not recoverable when selling back the gold.

Frequently Asked Questions