Marsad Al Dahab: Egyptians Have Not Abandoned Gold — They Have Changed the Way They Buy It

The Marsad Al Dahab for Economic Studies, based on data from the World Gold Council, has identified significant structural changes in Egypt’s gold market over the past five years, marked by a gradual shift in demand from gold jewelry toward gold bars and coins, while gold continues to maintain its position as one of the most important savings instruments for Egyptian consumers.

According to the data, Egyptians purchased approximately 247.9 tonnes of gold between 2021 and the end of the first quarter of 2026. This total consisted of 142.7 tonnes of gold jewelry and 105.2 tonnes of gold bars and coins.

Although jewelry remains the largest component of total gold demand during the period under review, the figures reveal a clear change in consumer behavior and purchasing patterns, reflecting the growing role of savings and investment considerations among Egyptian buyers.

World Gold Council data show that Egyptian gold jewelry demand reached 31.1 tonnes in 2021 before rising to 32.1 tonnes in 2022, the highest annual level recorded during the past five years.

However, this trend began to reverse in 2023, when jewelry demand declined to 26.7 tonnes, followed by 26.1 tonnes in 2024 and 21.5 tonnes in 2025. During the first quarter of 2026, jewelry demand totaled 5.2 tonnes.

These figures indicate that annual jewelry demand fell by approximately 10.6 tonnes between 2022 and 2025, representing a decline of nearly 33%.

Viewed in isolation, however, these numbers may lead to misleading conclusions. The data do not suggest that Egyptians have lost interest in gold. Rather, they indicate that part of the demand has shifted toward investment-oriented gold products within the same sector.

While jewelry demand was declining, demand for gold bars and coins experienced extraordinary growth.

Purchases of gold bars and coins increased from just 2.4 tonnes in 2021 to 19.2 tonnes in 2022, before surging to a record 30.3 tonnes in 2023.

Although demand moderated to 24 tonnes in 2024 and 23.6 tonnes in 2025, it remained historically high compared with pre-2022 levels. During the first quarter of 2026, bar and coin demand reached 5.7 tonnes.

These figures show that Egyptian demand for bars and coins increased by more than eightfold compared with 2021 levels, highlighting the magnitude of the transformation that has taken place in the domestic market over a relatively short period.

The year 2023 stands out as a pivotal turning point in Egypt’s gold market, as purchases of bars and coins exceeded jewelry demand for the first time, reaching 30.3 tonnes compared with 26.7 tonnes for jewelry.

Data for the first quarter of 2026 indicate that this trend remains intact, with bar and coin demand totaling 5.7 tonnes versus 5.2 tonnes for jewelry, reflecting the continued strength of investment demand for gold.

The Marsad Al Dahab noted that the data confirm that Egyptian consumers have not abandoned gold as a means of preserving wealth and savings. Instead, they have altered the type of gold products they prefer amid the economic changes witnessed in recent years.

Rising gold prices, higher manufacturing costs, and weaker purchasing power have encouraged a growing segment of consumers to seek more efficient savings vehicles, resulting in increased demand for bars and coins relative to traditional jewelry products.

Bars and coins enjoy a key advantage in that their premiums and manufacturing costs are significantly lower than those associated with jewelry. As a result, a larger share of the purchase value is directly linked to the underlying gold content, making them more attractive to savers and investors.

The Marsad Al Dahab further noted that World Gold Council data clearly demonstrate that the transformation in Egypt’s gold market is less about the overall level of demand and more about the composition of that demand, with investment products capturing a steadily increasing share of consumer spending that was historically directed toward jewelry.

This trend was also identified in a previous Gold Observatory survey conducted in April 2026, involving 521 gold traders and market participants across Egypt. The survey found that 92.6% of respondents reported that customers increasingly favored bars and coins for savings and investment purposes.

Survey participants also estimated that bars and coins accounted for approximately 88.9% of current sales, compared with only 11.1% for jewelry, underscoring the growing gap between investment demand and traditional consumption demand.

The Marsad Al Dahab noted that the survey findings closely align with the trends reflected in World Gold Council data, suggesting that the shift toward investment gold is no longer a temporary phenomenon but has become one of the defining characteristics of Egypt’s gold market in recent years.

At the same time, the figures do not diminish the importance of jewelry within the Egyptian market. Jewelry remains the largest component of gold demand during the period from 2021 through the first quarter of 2026, with cumulative purchases of 142.7 tonnes compared with 105.2 tonnes for bars and coins.

The key difference lies in the growth trajectory of each segment. Jewelry demand has gradually weakened, while investment gold has expanded at a much faster pace.

A review of the past five years suggests that Egypt’s gold market is undergoing a gradual restructuring driven by a combination of economic and behavioral factors, including inflation, rising living costs, global market volatility, and growing awareness of alternative savings instruments.

Gold has successfully maintained its appeal as one of the country's preferred stores of value. However, consumers are increasingly prioritizing products that maximize value preservation while minimizing acquisition and resale costs.

Ultimately, World Gold Council data paint a clear picture of Egypt’s gold market: Egyptians have not turned away from gold despite economic challenges and rising prices. Instead, they have redirected an increasing share of their purchases toward bars and coins as more efficient savings and investment vehicles—a trend that is likely to continue as long as current economic conditions remain in place.