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Gold price zooms past $4,000 amid global uncertainty

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KUWAIT: In a record-breaking rally, gold prices surged past the $4,000 an ounce mark in international markets on Wednesday, as investors continued to flock to safe-haven assets amid mounting geopolitical tensions, global economic uncertainty and a weakening US dollar. In Kuwait, prices of the precious metal hit an all-time high of KD 39.40 per gram for 24-karat gold, KD 36.20 for 22-karat, and KD 29.60 for 18-karat gold.

According to market experts, gold’s enduring allure as a safe-haven asset remains strong despite its soaring prices. “Gold continues to be valued both as a long-term investment and is a part of traditions with purchases being more occasion-driven rather than discretionary,” noted Ramesh Kalyanaraman, Executive Director of Kalyan Jewellers.

Gold reached an all-time high above $4,050 an ounce on Wednesday, with silver also climbing to a record high of over $49.50 an ounce. Gold prices have soared 54 percent year-to-date, following a 27 percent gain in 2024, making it one of the best-performing assets of 2025 — outpacing rallies in global equity markets and even bitcoin. Silver is up 71 percent so far this year, benefiting from the same factors driving gold’s rally.

Analysts point to a mix of geopolitical and economic factors driving demand. “The current geopolitical uncertainty coupled with Israel’s relentless war on Gaza are pushing up the gold demand and, in turn, sending the prices higher globally. Gold purchases by central banks, exchange-traded fund (ETF) inflows and the dollar volatility add to the consistent demand for the precious metal,” said Fakrudeen Ali, a bullion market specialist in Dubai.

Kalyanaraman has observed a notable uptick in investor interest in gold. “We are encouraged by robust footfalls across all our major markets including Kuwait. We are upbeat about the festive season, supported by healthy pre-bookings, fresh collections and campaigns. Overall, demand remains strong, and 22K and 18K jewelry continues to be the preferred choice for most customers,” he said.

“In many Arab traditions, gold carries both emotional and practical value. It’s often given as a token of appreciation for significant life events, such as weddings, the birth of a child, or personal achievements,” remarked Dr Nermeen Kassem, Assistant Professor of Media and Communication Studies at Gulf University for Science and Technology (GUST).

“Beyond its beauty, gold is also seen as a secure investment,” Dr Kassem added. “Women, in particular, appreciate it as something that combines elegance and financial stability. There’s even a popular saying that captures this dual meaning – ‘zeena w khazeena’ – which translates to ‘an ornament and a safe’, reflecting how gold is both a symbol of adornment and a form of savings.” She further noted that gold serves not only as an investment but is also widely used in industries such as electronics and dentistry, enhancing its overall desirability.

Analysts also point to broader macroeconomic concerns, including delays in key US economic data releases amid a prolonged government shutdown. Markets are also pricing in the possibility of US interest rate cuts as global uncertainty deepens following the tariff war unleashed by President Trump. Some of them believe that, given the confluence of these factors, gold prices could continue to climb through 2025 and possibly touch $5,000 an ounce by 2026.

“I find gold as the most lucrative investment,” noted an instructor at a university in Kuwait. According to her, unlike investments in the stock market, real estate or currency markets, investment in gold is arguably the most secure and stable. “Gold has the status as a timeless investment. It has universal demand and that reinforces its importance in today’s ever-changing financial landscape.”

Bullion jumped 12 percent in September alone, taking silver, platinum and palladium higher as well. Gold purchases by central banks have also buoyed prices. Central banks worldwide are on track to buy 1,000 metric tons of gold in 2025.

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Kuwait promotes social justice and joint Arab developmental efforts

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CAIRO: Minister of Social Affairs, Family and Childhood Affairs and Chairperson of the Supreme Council for Family Affairs Dr Amthal Al-Huwailah on Monday reaffirmed Kuwait’s commitment to strengthening joint Arab social and developmental efforts to uphold human rights and promote social justice. Delivering her speech at the 82nd session of the Executive Office of the Council of Arab Ministers of Social Affairs, held at the League of Arab States headquarters in Egypt, Dr Al-Huwailah opened by expressing deep sorrow over the tragic death of three Amiri Diwan employees in a traffic accident in Sharm El-Sheikh, offering condolences to the families and wishing a speedy recovery to the injured.

She expressed pride in Kuwait’s participation in the session, which addressed key social and developmental issues, and expressed hope it would yield decisions supporting social justice policies and the empowerment of women, girls, and persons with disabilities, particularly in political participation and gender equality. Dr Al-Huwailah noted that the session would adopt the draft agenda for the 45th session of the Council of Arab Ministers of Social Affairs and prepare for the Second World Summit for Social Development, scheduled in Doha next November. She emphasized Kuwait’s aspiration for Arab countries to make a strong and active presence at these events, showcasing development achievements and exchanging experiences in social care.

Officials are pictured during the meeting. - KUNA photos

Officials are pictured during the meeting. – KUNA photos

Highlighting Kuwait’s role, she said the Ministry of Social Affairs, the Supreme Council for Family Affairs, and the Public Authority for the Affairs of Persons with Disabilities are committed to following up on the implementation of Council decisions, ensuring coordination that respects diversity and privacy while promoting social justice.

Dr Al-Huwailah concluded by thanking Egyptian Minister of Social Solidarity and Head of the Executive Office Dr Maya Morsi for the warm reception and efficient organization. She also praised Egypt’s efforts in hosting the Sharm El-Sheikh Peace Summit and its unwavering support for ending the conflict in Palestine. The Executive Office meetings are chaired by Egypt, with membership including Kuwait, Palestine, Qatar, the Comoros, Lebanon and Libya, alongside the participation of the Social Affairs Sector of the League of Arab States, represented by Minister Plenipotentiary Enas Al-Farjani.- KUNA

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Kuwait urges global action on poverty and climate

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NEW YORK: Kuwait has called for stepped-up international efforts to eradicate poverty, promote equitable development, secure sustainable financing, protect the environment and expand social safety nets. The appeal came in a speech delivered Saturday by Rashed S Al-Abhoul, Third Secretary of Kuwait’s Permanent Mission to the United Nations, during the general debate of the UN Second Committee on Economic and Financial Affairs.

Al-Abhoul said eliminating poverty in all its forms remains Kuwait’s top priority. Nearly a decade after the adoption of the Sustainable Development Goals, only 35 percent have recorded tangible progress, while nearly half are stalled and 18 percent have slipped below the 2015 baseline, he noted. He added that the annual financing gap has now surpassed $4 trillion.

On climate, Al-Abhoul warned that challenges are more urgent than ever, with floods, droughts and wildfires causing severe losses and shrinking some economies by up to five percent annually. He called for a flexible and accessible climate finance mechanism and urged the establishment of partnerships to accelerate development progress. He stressed the need for eased financing terms, debt relief, mobilization of humanitarian resources and targeted investment in sustainable agriculture, food supply chains, innovation and digital infrastructure. The current international financial system, he said, is no longer capable of keeping pace with today’s challenges and must undergo comprehensive reform to become fairer and more transparent.

Highlighting Kuwait’s longstanding commitment to development cooperation, Al-Abhoul pointed to the creation of the Kuwait Fund for Arab Economic Development in 1961 as a model of solidarity. The fund has financed more than 1,000 projects in over 100 countries, he said. Turning to the Middle East, he condemned ongoing human rights and environmental violations in the region. He said the committee must not remain silent when mandated to follow up on development challenges.

He expressed Kuwait’s strongest condemnation of the Zionist occupation’s use of starvation as a weapon against civilians and its terrorizing of unarmed populations in blatant violation of international law. He called for the lifting of all restrictions on humanitarian aid, the guarantee of safe delivery, and accountability for those who use food and life as tools of war. Al-Abhoul stressed that the next five years will be critical and must deliver tangible, measurable progress on development commitments.— KUNA

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Kuwait participates in UNCITRAL session

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VIENNA: The 82nd session of Working Group II (Dispute Settlement) of the United Nations Commission on International Trade Law (UNCITRAL) commenced on Monday in Vienna, with the participation of a Kuwaiti delegation. A statement by the UN Information Service said the discussions, which will continue until October 17, focus on recognizing and enforcing electronic arbitration awards amid the accelerating shift towards digital dispute resolution in international commerce.

The working group will examine key issues, including enhancing reliance on electronically issued arbitration awards by reviewing the experiences of countries and organizations, and identifying associated legal and technical challenges. The discussions will also address the preparation of an interpretative recommendation on the 1958 New York Convention, clarifying that electronic form does not impede the recognition or enforcement of awards, and equating electronic awards with their paper counterparts where reliability and integrity are guaranteed.

Topics under consideration include proposed amendments to the Model Law on International Commercial Arbitration to define electronic arbitration awards and electronic data messages, establish rules for arbitrators’ electronic signatures, and set timeframes for receiving electronic communications, while reinforcing the principle of functional equivalence between paper and electronic formats. The group will also review amendments to the UNCITRAL Arbitration Rules to permit electronic issuance and delivery of awards, and update the UNCITRAL Notes on the Organization of Arbitration Procedures to encourage arbitration institutions to adopt digital systems, taking into account enforcement requirements across jurisdictions.

The session aims to create a unified, modern international legal framework ensuring electronic arbitration awards carry the same legal and enforceable force as paper awards, thereby boosting confidence in digital arbitration mechanisms and supporting the electronic transformation of cross-border commercial dispute resolution. The Kuwaiti delegation includes representatives from the Fatwa and Legislation Department, lawyer Mohammed Al-Khuwaitim, and lawyer Farah Al-Rais. — KUNA

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