Nepal has seen a halt in daily gold and silver price listings for over a week after traders across the country shut down their businesses in protest of new tax regulations introduced by the government.
The Federation of Nepal Gold and Silver Dealers’ Association (FENEGOSIDA), which normally publishes daily rates, has not updated gold prices since Ashar 19 (July 3). At that time, gold was traded at NPR 192,100 per tola.
Federation: “No business, no reason to set a price”
Speaking to media, the federation’s Senior Vice President Dharmasundar Bajracharya said,
“Jewelry shops across the country are closed. We are protesting. With no transactions happening, there is no point in publishing prices.”
What sparked the protest?
The protest follows the government’s recent financial bill, which imposes:
- 2% luxury tax on the purchase of gold jewelry
- 13% VAT on the purchase of precious stones like diamonds
Jewelry traders argue that the 2% tax will raise gold prices by around 6%, leading to an increase in illegal trading and discouraging formal business.
Impact and market concern
Since the strike began, the precious metals market has remained inactive, with no official trading or pricing updates. Though global gold prices have slightly declined over the past week, Nepali consumers remain in limbo due to the pricing blackout.
