The domestic bullion market in Nepal witnessed an extraordinary, record-breaking shockwave today, Sunday, May 31, 2026, as gold prices jumped by an unprecedented Rs 20,500 per tola in a single day.
According to the official daily rates released by the Federation of Nepal Gold and Silver Dealers’ Association (FENEGOSIDA), fine gold (छापावाल सुन) is trading at an all-time high of Rs 311,100 per tola (11.66 grams). This massive surge comes immediately after Friday’s closing rate of Rs 290,600 per tola, completely erasing the mild corrections seen in the market earlier last week.
The Budget Effect
Market analysts and trade experts attribute this historic single-day spike entirely to the fiscal policy overhauls introduced in the newly unveiled FY 2026/27 national budget presented in the Federal Parliament. The government’s decision to revise custom duties, import taxes, and luxury valuation metrics on precious metals caught the trading community by surprise, leading to an immediate repricing of existing bullion stock.
“We have never seen a vertical leap of this scale in the domestic market history,” noted a senior member of the Association. “The sudden adjustment reflects the immediate cost alignment following the new budgetary directives on import tariffs.”
Silver Follows the Rally
The silver market was swept up in the bullish momentum as well. The price of silver witnessed a sharp increase of Rs 305 per tola, with the industrial and decorative metal currently trading at Rs 5,345 per tola against Friday’s rate of Rs 5,040.
Market Impact and Showroom Halt
The sudden Rs 20,500 hike has sent ripples through retail corridors across the country. Major jewelry showrooms in New Road, Kathmandu, and other commercial hubs across the valley reported a sudden pause in consumer bookings.
With the wedding and festive seasons approaching, consumers are expressing deep concerns over the sudden barrier to purchasing. Jewelry retailers anticipate a temporary drop in transactional volume as retail showrooms recalibrate their final jewelry pricing, which will factor in standard making charges (ज्याला) and wastage (जर्ती) percentages on top of this elevated baseline bullion rate.