KATHMANDU: The price of gold has increased by Rs 1,600 per tola (11.66 grams) in the domestic market of Nepal on Sunday compared to the previous trading day.

According to the Federation of Nepal Gold and Silver Dealers' Associations, the price of hallmark gold has reached Rs 140,900. Hallmark gold was traded for Rs 139,300 on Friday.    

Similarly, the price of standard gold has reached Rs 140,200 while it was traded for Rs 38,650 on Friday.    

Similarly, the federation has fixed the price of silver at Rs 1910 per tola on Sunday.

The price of gold has been rising steadily in the past few weeks. In the Nepali month of Chaitra (mid-March to mid-April), the price of gold has increased eleven times in the domestic market of Nepal. The federation fixes the price of gold and silver based on the price in the international market.

The recent geopolitical tension due to the Israel’s offensive in Gaza and the Russia-Ukraine war have led to investors to invest in gold considering it as a safe haven in times of turmoil.

Businessmen complain that the gold and silver jewelry business has decreased due to the continuous rise in the price of gold.