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Relaxation of restrictions in Singapore, India boosting gold price

Investing.com -

Investing - The price of gold settled at $1133.30 on Friday, up $2.60 per troy ounce, or 0.23%.

News from around the globe may be giving the precious metal, whose price has been tarnished lately, a significant boost.

Reports emerged this week that the government of India are poised to cut taxes on gold.

The government there is seeking to drop gold import taxes to 6%, a major reduction from the present 10% import tax.

The lower taxes are part of a policy to curb gold smuggling, experts said, noting the black market for gold there has grown since taxes were increased earlier this year.

Analysts reckon the price of gold may be bolstered if this policy is implemented.

Singapore's Sharia-Compliant Gold Futures

Other gold policy news is influencing the market price today.

This week, the Singapore Exchange launched its first sharia-compliant gold futures contract, develooped to meet all requirements for Islamic finance. This will allow buyers in the Muslim world to ethically wade into the market.

Earlier, Bahrain's Accounting and Auditing Organization for Islamic Financial Institutions released new guidelines on gold and silver purchases for Islamic investors.

In another development, Nigerian mines minister Kayode Fayemi said the federal government has obtained $150 million from the World Bank to support a national mining investment fund.

Developers of gold, zinc and other metals across Nigeria now have a major source of project funding.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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