Saudi Arabia used the most gold in the Arab world over the last 5 years, with 228.1 tonnes

Saudi Arabia used the most gold in the Arab world over the last 5 years, with 228.1 tonnes

Saudi Arabia is the biggest buyer of gold in the Arab world and the ninth-largest in the world. Over the past five years, it has led the region in gold demand, with a total of 228.1 tonnes, according to the World Gold Council (WGC). The UAE, Egypt, and Kuwait have also seen big changes in gold buying due to economic uncertainty and changing financial policies.

The U.S. Federal Reserve’s decisions on interest rates have affected global gold demand. In March 2020, it lowered rates to nearly zero (0%–0.25%) and kept them low until early 2022, increasing gold demand. But from March 2022 to July 2023, it raised rates to 5.25%–5.5%, making gold less attractive. In September 2024, the Fed started cutting rates again, lowering them to 4.25%–4.5% by December.

Future gold demand in Saudi Arabia and the Arab world will depend on U.S. interest rates, currency changes, and regional economic conditions.

Here’s a look at the top gold-buying Arab countries over the past five years and what’s next for the market.

1. Saudi Arabia

• Total gold consumption (2020-2024): 228.1 tonnes

• Global ranking: #9

In the last five years, Saudi Arabia used 228.1 tonnes of gold. People bought 167.1 tonnes as jewelry and 61 tonnes as gold bars and coins.

Gold jewelry demand increased from 22.7 tonnes in 2020 to a peak of 38.1 tonnes in 2023, helped by post-pandemic recovery and strong interest. However, in 2024, it dropped slightly to 35 tonnes.

Gold bars and coins have been selling more each year since 2020, reaching 15.4 tonnes in 2024—the highest since 2014, when it was 15.6 tonnes. This shows people in Saudi Arabia still see gold as a good investment.

2. UAE

• Total gold consumption (2020-2024): 222.8 tonnes

• Global ranking: #11

In the last five years, people in the UAE bought a total of 222.8 tonnes of gold. This included 176.7 tonnes of jewelry and 46.1 tonnes of gold bars and coins.

Jewelry sales grew a lot, going from 21.5 tonnes in 2020 to a high of 46.9 tonnes in 2022. After that, sales dropped to 39.7 tonnes in 2023 and 34.7 tonnes in 2024, showing a market adjustment.

Investment in gold bars and coins kept growing steadily, from 5.2 tonnes in 2020 to 13.3 tonnes in 2024. This shows that people are still interested in buying physical gold.

“Saudi Arabia and the UAE have been more stable, but there has still been a small decline. The UAE is still one of the top countries in the world for gold jewelry demand, but buying has been slowly decreasing since 2022, and 2025 is no different. One big reason for this is the strong sales in 2022 after COVID, which needs to be considered.”

3. Egypt

• Total gold consumption (2020-2024): 215.4 tonnes
• Global ranking: #12

In the past five years, Egypt used 215.4 tonnes of gold, making it the third-largest consumer in the Arab world and the 12th globally. This includes 137.4 tonnes of jewelry and 78 tonnes of gold bars and coins. In 2023, Egypt led gold consumption in the Arab world, buying 57 tonnes to protect against currency decline and high inflation.

In 2023, demand for gold bars and coins increased sharply, reaching 30.3 tonnes—up from 19.2 tonnes in 2022. Many Egyptians bought gold as a safe investment due to currency devaluation and inflation. This was a big jump from 2.4 tonnes in 2021 and 2.2 tonnes in 2020. However, in 2024, demand dropped slightly to 24 tonnes as the economy started to stabilize.

Jewelry consumption was highest in 2022 at 32.1 tonnes, up from 31.4 tonnes in 2021 and 21.1 tonnes in 2020. It then fell to 26.7 tonnes in 2023 and 26.1 tonnes in 2024, showing changes in how people spend their money.

Mourad explained, “Egypt has all the usual reasons for high gold demand—inflation, a weak currency, and economic uncertainty. But in 2023, demand for bars and coins still fell by 21%. Jewelry sales remained more stable because many people couldn’t afford gold bars when prices went over $3,000 an ounce.”

4. Kuwait

• Total gold consumption (2020-2024): 86.4 tonnes
• Global ranking: #21

Total gold use in Kuwait from 2020 to 2024 was 86.4 tonnes, ranking it as the fourth-largest gold consumer in the Arab world and 21st globally. This includes 64.5 tonnes of jewelry and 21.9 tonnes of gold bars and coins.

Jewelry demand grew from 10.3 tonnes in 2020 to 14.7 tonnes in 2022, then slightly dropped to 14.3 tonnes in 2023 and 12.3 tonnes in 2024. Mourad noted, “This doesn’t mean people lost interest in gold, but demand slowed after a strong increase.”

Meanwhile, demand for gold bars and coins rose steadily from 2.7 tonnes in 2020 to 6.1 tonnes in 2024, as more people saw gold as a safe investment.

Looking ahead, Mourad said, “The global economy is creating the perfect conditions for gold to do well—inflation is still high, economic growth is uncertain, and interest rate cuts are possible. Gold has already gone over $3,000 an ounce this year, rising more than 15%, and investors are paying close attention to its price movements.”

Published: 1st April 2025

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