UAE gold sales skyrocket in first quarter of 2004
Retail gold sales in the United Arab Emirates skyrocketed 41 per cent in value terms from Dh1.13 billion to Dh1.6 billion in the first three months of the current year compared with the same period in 2003, according to statistics released by the World Gold Council (WGC) regional office in Dubai.
UAE gold consumption in terms of tonnage also witnessed a 21 per cent increase during the same period. Gold jewellery consumption rose over 22 per cent from 22 tonnes in 2003 to 26.9 tonnes in 2004, while retail investment (bullion coins and bars) consumption climbed 11 per cent from 1.8 tonnes in 2003 to 2 tonnes in 2004.
Moaz Barakat, WGC managing director for the Middle East, Turkey and Pakistan, said the improved performance occurred because of all the promotional activities during this period, especially the Dubai Shopping Festival (DSF), and the boom in the tourism sector.
Recent projects and developments in the UAE from Emaar Properties, and The Palm, as also shopping promotions and other activities also contributed to the continuous overall growth and development of the UAE economy, he added.
"Investment in gold as a financial asset has increased in line with the global trend. Gold provides security against inflation and is an excellent risk diversifier asset. The global political and economic concerns encouraged retail investment purchases in some countries including the Middle East," said Barakat. (menareport.com)
© 2004 Mena Report (www.menareport.com)