Vice President of the Businessmen Association, Osama Msih, confirmed that global central banks view gold as a high-quality and liquid asset, explaining that the cost of extracting an ounce of gold currently ranges between 1300 and 1800 dollars.
Msih stated on "Al-Mamlaka" that he expects the Jordanian Central Bank to follow the lead of these banks, especially since it has a prudent management which should keep up with and pursue global financial developments and adapt to international economic changes.
He indicated that the volume of stamped gold in Jordan, both local and imported, reached 10 tons during the year 2025, pointing out that global gold production amounts to about 3600 tons annually. Approximately 450 tons are allocated for industrial production, and about 1000 tons annually for central banks.
Msih clarified that a U.S. administrative court decision related to customs tariffs is directly linked to gold prices, due to its impact on inflation and the movement of global markets.
He revealed that the price of a kilogram of 24-karat gold reached about 114,000 dinars, with profits ranging between 100 and 300 dinars per kilogram.
He added that gold prices have seen a significant increase since the 1970s up until the present, by approximately 150%, emphasizing that the best investment is in physical gold rather than speculating in the precious metal.
Msih warned of the risk of Jordanians losing hundreds of millions from their savings due to trading through unlicensed companies, urging caution and reliance on safe investment channels under supervision.
Msih explained that the market might experience a substantial correction in silver prices in the upcoming period, noting that any correction in gold prices would be a suitable buying opportunity for medium and long-term investment purposes. He highlighted that gold reflects the decrease in the value of the dollar and foreign currencies, as it mirrors the decline in confidence in paper currencies.
He pointed out that Jordan consumed about 71 tons of silver last year alone, asserting that the current increases in silver prices may be followed by a greater decrease later, in light of global market fluctuations and changing economic data.
On the other hand, financial market analyst Sarkis Nizar said that predictions of rising gold prices started from 2019 and continued through 2020, but the rise accelerated significantly in 2022 with the outbreak of the conflict between Russia and Ukraine, which ignited the surge in prices.
Nizar explained that there is a loss of confidence in the global financial system, alongside a decline in trust in the governments of the world, especially the major powers, which has led to the increase in gold prices. He added that the United States is likely to face another government shutdown in the coming period.
He mentioned that the world is experiencing a lack of confidence in cash and paper currencies, which drives the demand for gold, pointing out that there are expectations for central banks to increase their gold reserves by about 80 tons monthly.
Nizar pointed out that this trend reflects a loss of confidence in paper currencies, emphasizing that the rise in gold prices was expected, although not at this rapid pace. He noted that the fundamental indicators still support further increases in gold prices.
He added that tariffs increase inflation rates, which directly reflects on gold prices, warning at the same time that trading gold could yield high returns, but it involves high risks.
