The UAE gold price continues to attract global buyers, especially from India, despite April being a turbulent month for international markets. With geopolitical tensions and rising inflation around the globe, gold prices surged—but the UAE remained a reliable spot for affordable gold shopping.
Let’s dive into why UAE gold is still shining brighter for buyers even after a dramatic April.
April Price Spikes Hit Global Markets
In April 2025, global gold prices saw a significant increase. With ongoing conflicts in Europe, rising oil prices, and interest rate uncertainty in the US, many investors moved their money to gold—a historically “safe” asset.
India, being one of the world’s biggest gold consumers, saw its domestic prices soar. On several occasions during April, gold touched all-time highs in Indian markets.
But in contrast, the UAE gold price remained comparatively stable. While there were slight increases in the UAE market, they were much lower than those in India. This meant that Indian tourists and NRIs in the UAE continued to buy gold at better rates—even during a volatile month.
Why UAE Gold Is Still Cheaper
There are a few reasons why the UAE gold price stays lower:
1. Lower Taxation
The UAE imposes a 5% VAT on gold, whereas India has a 12.5% import duty plus 3% GST. This creates a significant price difference, especially on larger purchases.
2. No Making Charges or Transparent Pricing
Gold shops in the UAE are known for transparent pricing, and often waive or reduce making charges, especially during festive or promotional periods. In India, making charges can vary widely and are often non-negotiable.
3. Proximity to Global Supply
Dubai is known as the “City of Gold” for a reason. The city has direct access to gold refineries and global trade routes, which cuts down on shipping and import-related costs.
These advantages help keep the UAE’s gold prices competitive—even during times when global rates are on the rise.
NRIs and Tourists Continue to Buy
The low UAE gold price is especially good news for Indian tourists visiting during the Eid holidays and other seasonal breaks. Gold remains one of the most popular purchases for travellers in Dubai, Abu Dhabi, and Sharjah.
Many NRIs (Non-Resident Indians) living in the UAE also use this price difference to their benefit, buying gold in bulk to send home or to wear during trips to India.
According to shopkeepers in Dubai’s Gold Souk, footfall increased during April despite the global price jump. Tourists saw that gold in Dubai was still cheaper than what they’d get in their home countries—and they weren’t wrong.
Impact of Currency Exchange
Another factor that adds to the price gap is currency exchange rates.
The Indian Rupee has seen depreciation against the US Dollar, which directly affects gold prices in India, as gold is traded globally in dollars. In contrast, the UAE Dirham is pegged to the US Dollar, which protects buyers in the Emirates from drastic fluctuations in conversion rates.
So, even if international prices go up, buyers in the UAE feel the impact much less.
Festive Discounts and Offers in UAE
April also saw gold retailers in the UAE rolling out deals and discounts in preparation for Eid and Akshaya Tritiya. These cultural festivals are known for their gold-buying traditions.
While India also offers festive discounts, the baseline price (due to high import taxes) is still much higher. This helped UAE retain its edge.
Some of the offers included:
- Free gold coins on purchases above AED 5,000
- 0% making charges on selected gold items
- Flat discounts on diamond and platinum jewellery
To explore upcoming offers, you can visit the Dubai Jewellery Group.
What It Means for the Average Buyer
For residents and visitors, this price gap means more value for their money. A piece of jewellery that costs INR 60,000 in India might only cost AED 2,400 (approx. INR 54,000) in Dubai—with higher purity and better designs.
Even with airline costs, many believe the savings are worth the trip—especially if they are visiting family or already vacationing in the UAE.
Gold is not just a fashion statement in Indian culture; it’s an investment. And when it comes to smart investing, buyers are choosing the UAE.
Can This Trend Continue?
While global prices will always influence local rates, the structure of the UAE’s gold market gives it a strong advantage. Unless India slashes import duties, the UAE gold price will likely remain more attractive.
With Dubai’s continued push to promote tourism and trade, including the Expo City 2025 plans, the gold sector is expected to remain a major draw.
Retailers and market watchers believe the difference in pricing between India and the UAE will remain at least through the next quarter, especially if geopolitical tensions continue to fuel demand for gold.
Final Thoughts
In a world where prices are rising almost everywhere, it’s refreshing to see a luxury item like gold still being affordable—at least in the UAE.
Whether you’re an investor, a tourist, or simply someone who loves jewellery, the UAE gold price offers both savings and style. And for Indians especially, it’s a golden opportunity worth exploring.
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