Gold Price History in India

Learn about factors affecting gold prices, understand the history of gold prices in inida which provides a complete insight into the economic, social and cultural journey of India with this guide.

8 Nov,2023 05:53 IST 5953
Gold Price History in India

Gold, a brilliant and precious metal, has enjoyed great value and importance in India for centuries. The metal symbolizes wealth and prosperity. Gold has been a part of Indian culture since its use in traditional jewellery and religious ceremonies. Understanding the history of gold prices in India provides insight into the economic, social, and cultural context of the country.

Early golden days in India

Gold in India dates back to the Indus Valley Civilization. This is one of the earliest urban civilizations in the world. Archaeological evidence suggests that gold was used for ornaments and trade. Gold was highly prized for its purity, and the metal was often used as currency.

Average annual price of gold (24 karat per 10 grams) from 1964 to 2023

Years Price (24 karat per 10 grams)
1964 Rs.63.25
1965 Rs.71.75
1966 Rs.83.75
1967 Rs.102.50
1968 Rs.162.00
1969 Rs.176.00
1970 Rs.184.00
1971 Rs.193.00
1972 Rs.202.00
1973 Rs.278.50
1974 Rs.506.00
1975 Rs.540.00
1976 Rs.432.00
1977 Rs.486.00
1978 Rs.685.00
1979 Rs.937.00
1980 Rs.1,330.00
1981 Rs.1670.00
1982 Rs.1,645.00
1983 Rs.1,800.00
1984 Rs.1,970.00
1985 Rs.2,130.00
1986 Rs.2,140.00
1987 Rs.2,570.00
1988 Rs.3,130.00
1989 Rs.3,140.00
1990 Rs.3,200.00
1991 Rs.3,466.00
1992 Rs.4,334.00
1993 Rs.4,140.00
1994 Rs.4,598.00
1995 Rs.4,680.00
1996 Rs.5,160.00
1997 Rs.4,725.00
1998 Rs.4,045.00
1999 Rs.4,234.00
2000 Rs.4,400.00
2001 Rs.4,300.00
2002 Rs.4,990.00
2003 Rs.5,600.00
2004 Rs.5,850.00
2005 Rs.7,000.00
2006 Rs.8490.00
2007 Rs.10,800.00
2008 Rs.12,500.00
2009 Rs.14,500.00
2010 Rs.18,500.00
2011 Rs.26,400.00
2012 Rs.31,050.00
2013 Rs.29,600.00
2014 Rs.28,006.50
2015 Rs.26,343.50
2016 Rs.28,623.50
2017 Rs.29,667.50
2018 Rs.31,438.00
2019 Rs.35,220.00
2020 Rs.48,651.00
2021 Rs.48,720.00
2022 Rs.52,670.00
2023 Rs.58,385.00
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Gold price volatility in India

The price of gold fluctuates constantly, influenced by a combination of domestic and global factors. These factors include:

Supply and demand:

The availability of gold plays a crucial role when it comes to determining the price of gold. When gold is scarce, its price rises, while an increase in its supply can cause its price to fall.


Inflation, which is a constant rise in prices, also affects the price of gold. As currency prices fall, gold, considered a store of value, becomes more attractive, driving up its value.

International Markets:

The global rise in gold prices also impacts the Indian market. An increase in the international price of gold has a significant impact on domestic prices.

Government policies:

Government policies such as import duties and taxes can also affect gold rates in India.

Gold price trends in India over the decades

The history of gold prices in India can be divided into distinct periods, each marked by important events and events:

Pre-independence (1947 and before):

Gold prices were relatively high during this period, with minor fluctuations. Gold was widely used as currency and reserve money.

Post-independence period (after 1947):

Since independence, Indian gold prices have undergone significant fluctuations. The Indo-Chinese War of 1962 and the financial crisis of 1971 led to a sharp rise in the price of gold.

Liberalization period (1991 onwards):

Economic liberalization in the early 1990s opened up the gold market in India. This increased competition and transparency, creating a more stable environment for gold prices.

The recent rise in gold prices in India

In recent years, gold prices have risen steadily, reflecting global trends. The COVID-19 pandemic and ongoing geopolitical tensions have increased gold demand for security assets.

Impact of gold price fluctuations on the Indian economy

Volatility in the price of gold has a significant impact on the Indian economy in several ways:


Gold is a popular investment in India. An increase in the price of gold can increase the supply of gold, which can have a positive effect on the economy.

Jewellery Industry:

The Jewellery industry is a major employer in India. Fluctuations in the price of gold can affect the demand for jewelry, affecting business and economic activity.


Many Indian households tend to consider gold as a safe deposit. A rise in the gold prices can increase the value of household savings.

What to remember when buying gold?

When buying gold in India, there are essential considerations to remember. First and foremost, prioritize purchasing hallmarked gold from reputable and authentic jewellers to ensure its purity and authenticity.

Additionally, stay informed about the market's fluctuations before investing in gold. Opt for buying gold during market downturns, as this can be an opportune moment for acquisition. Subsequently, when the gold prices rise, you can sell your gold for a profit. It's also advisable to stay updated on the current silver prices in India for a well-rounded understanding of the precious metals market.


The history of gold prices in India is an interesting picture of the country’s economic, social, and cultural development. Individuals, entrepreneurs, and policymakers need to understand the factors affecting gold prices and their economic impact. As India grows and develops, gold is likely to become an important asset in the lives of its citizens and an important part of the national economy.

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