In Gulf capitals, where gold heritage runs deep, that cultural affinity is now evolving into strategic financial policy.
Imran Farooqui
The global economy in 2025 finds itself buffeted by trade wars, geopolitical flashpoints, and market volatility, steering central banks toward gold like never before. Analysts estimate that official institutions will add roughly 900 tonnes of bullion this year-marking a fourth year of uninterrupted accumulation. Yet the Gulf is doing more than simply accumulating gold; it’s laying the groundwork to become a cornerstone of the worldwide gold ecosystem.
Across Asia and Europe, central banks are diversifying away from a U.S. dollar that slid 0.62% in 2024 amid U.S.–China trade tensions, conflicts from Ukraine to the Middle East, and sanction risks. As a result, gold’s share of global reserves has climbed to nearly 20%, eclipsing the euro and trailing solely the dollar in official coffers. Its timeless appeal as a neutral hedge is proving invaluable in these unsettled times.
In Gulf capitals, where gold heritage runs deep, that cultural affinity is now evolving into strategic financial policy. “Gold represents both tradition and an insurance policy against economic turbulence,” says Imran Farooqui, Founder of NUQI Gold. Bullion prices, which hit a record $3,500 per ounce in April 2025 before retreating to around $3,307 today, have driven a surge in demand-from sovereign wealth funds to retail savers-seeking protection from inflation and currency swings.
To support this surge, the UAE and Saudi Arabia are channeling investment into refining facilities, fortified vaults, and next-generation trading platforms. Recent social-media disclosures from Riyadh detail plans to ramp up domestic refining output, underscoring the Gulf’s ambition to stand as a self-reliant global gold hub.
Innovation is equally underway on the consumer front. Nuqi Gold’s digital platform is democratizing access to 24-carat physical gold, enabling users to buy, sell, or gift as little as 0.5 grams through a secure app and insured vault network. “We’re tearing down the barriers to entry,” Farooqui explains. “You no longer need to purchase large quantities or worry about storage-our technology makes gold a seamless portfolio option for a new generation of investors.”
Looking ahead, projections place gold nearer to $3,675 per ounce by late 2025, potentially reaching $4,000 by mid-2026. With the Gulf doubling down on both its centuries-old respect for gold and its appetite for technological advancement, the region is uniquely positioned not just to ride the global reserve wave-but to help steer it.
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