Gold Prices Analysis (24k & 22k) per 10 grams (INR) – 5-Year Intervals
Key Points
Total 50-Year Growth:
- 24K Gold: 13,381% increase (₹540 to ₹87,653)
- 22K Gold: 13,385% increase (₹495 to ₹80,363)
Highest Growth Period: 2005-2010 saw the largest percentage increase (164.3%) for both types, coinciding with the global financial crisis.
Only Decline: 1995-2000 was the only period with negative growth (-6.0% for 24K, -6.1% for 22K).
22K vs 24K Relationship: 22K gold has consistently maintained approximately 91.7% of 24K gold’s price, directly reflecting the purity ratio (22K being 91.67% pure).
Historical Phases:
- Controlled Market (1975-1990): Heavy regulations, high growth
- Liberalization (1990-2000): Economic reforms, moderate to negative growth
- Bull Market (2000-2020): Extraordinary growth, especially during crisis periods
- Recent Period (2020-2025): Strong post-pandemic growth.
Example: Investing in gold has long been considered a hedge against inflation and economic fluctuations. To illustrate the potential growth of such an investment, let’s examine a hypothetical scenario: if a person investing ₹10,000 in gold in 1975 and holding it until March 2025.
Gold Price in 1975
In 1975, the price of 10 grams of 24-carat gold in India was approximately ₹540. Therefore, an investment of ₹10,000 would have purchased approximately 185.19 grams of gold:
Gold Price in March 2025
As of March 12, 2025, the price of 24-carat gold in India is ₹8,798 per gram. Consequently, the current value of the 185.19 grams of gold purchased in 1975 would be:
185.19 grams X ₹8,765/gram = ₹16,23,246
Investment Growth Over 50 Years
The initial investment of ₹10,000 in 1975 has grown to approximately ₹1,630,000 by March 2025. This significant appreciation demonstrates the long-term value of gold as an investment.