KARACHI: Local gold prices rose by Rs1,157  hitting three-month high of Rs50,142 per 10-gram on Thursday, while the one-tola rate jumped by Rs1,350 to Rs58,500 as international yellow metal prices reached a 16-week high.

World gold rates increased to $1,662 per ounce on inflation concerns amid anticipation that US will take additional steps to boost economic growth. Domestic price of 10 gram gold was quoted at Rs50,142 and per tola price (11.664 gram) at Rs58,500.

President All Sindh Sarafa and Jewellers Association Haji Haroon Rashid Chand said sale of gold jewellery was slower than expected as old jewellery sets were being converted into new ones or orders for low weight jewellery were being placed.

However, Haji Chand believed that investment in gold in Pakistan was still increasing but volume of gold investment in India, Malaysia, and Bangladesh was much higher.

He recalled that the per tola rate had hit Rs59,000 three months back while in last year’s Ramazan it reached the record peak of Rs63,500.

According to Pakistan Bureau of Statistics (PBS), gold imports in July 2012 stood at 201 kg ($11 million) as compared to 270 kg  ($14.5 million) in June 2012, while it was 105 kg ($5 million) in July 2011.

Jewellery exports were recorded at $196 million in July 2012, compared with $206 million in June 2012 and $80 million in July 2011.

Gold import in 2011-2012 rose to 3,205 kg ($172 million), compared with 2,834 kg ($110 million), while export of jewellery more than doubled to $922 million from $403 million.