Despite high gold prices in Dubai, budget-focused jewellery buyers are still active in the market, with plain gold chains and bangles under Dh3,000 seeing steady demand. These simple, no-frills pieces come with minimal making charges, making them an attractive option for shoppers looking to invest in gold without stretching their budget.
Gold prices in the UAE may be hovering near record levels, but there’s one category of jewellery that continues to draw steady interest from price-conscious shoppers: plain gold chains and bangles in the 15 to 20-gram range. Despite the broader slump in retail activity, this segment remains a silver lining for jewellers facing one of the toughest summers for sales since the pandemic.
According to market experts, demand for these basic, no-frills gold items – often priced under Dh3,000 – is holding up even as overall shopper footfall at prominent jewellery hubs like the Dubai Gold Souq declines.
“At the Dubai Gold Souq, we are seeing low-budget categories priced under Dh3,000 still selling,” said Rohan Siroya, CEO of Evermore. “The (overall) Gold Souq shopper traffic has come down because prices are high and the high season is over.”
This trend is especially visible in plain, machine-made bangles and chains that carry minimal making charges and no elaborate design elements. For many residents, especially those planning to travel this summer, these pieces serve more as investment gold than fashion accessories. Their straightforward design may lack ornamental appeal, but that’s precisely what keeps the cost manageable in a market where 22K gold prices are fluctuating at elevated levels.
As of this week, the Dubai gold rate for 22K stands at Dh369.5 per gram. Prices are widely expected to touch – and possibly exceed – Dh370 over the weekend, staying well above the Dh365 mark seen during the last weekend of June. That Dh365 level was the lowest recorded in the past 30 days, and many buyers have been hoping for a further drop toward Dh360 – hopes that continue to be disappointed.
“The current market condition is testing the patience of gold shoppers,” said a leading retailer at the Gold Souq. “They keep waiting for prices to drop to Dh360 or lower, but that hasn’t happened. So some of them are turning to smaller, more affordable purchases just to stay active in the market.”
The Dubai Summer Surprises (DSS) 2025 promotions and raffle campaigns have added some energy to the otherwise muted jewellery sector. With entry into raffles now requiring a minimum gold spend of Dh1,000 – down from Dh1,500 in previous years – more residents are taking the opportunity to buy modest quantities of gold and still enjoy the thrill of possible winnings before heading off on their summer holidays.
“The DSS raffles are helping a bit,” added Siroya. “They create excitement among shoppers, especially those planning to travel soon. Even a small purchase gets them into the draw, and that’s been useful in driving some traffic to the stores.”
However, retailers across the UAE agree that the overall gold and jewellery market has softened significantly over the summer. Many residents are either traveling or holding back on larger purchases, particularly those involving high-design or premium jewellery pieces. The result is a slowdown in demand that several store owners say rivals the sales freeze seen during the peak of the COVID-19 period.
“Everyone is putting off their next designer jewellery purchase unless they see some price stability come in,” said a Dubai-based jeweller. “The everyday gold price fluctuations are hurting major sales. It’s difficult to convince shoppers to commit to big-ticket items when they’re unsure if prices will drop again in a few days.”
This seasonal downturn, coupled with consistently high gold prices, has made 2025’s summer stretch one of the most challenging in recent years for jewellery retailers. As more UAE residents head out on vacation in the coming days, store owners expect foot traffic to dip even further.
Despite the sluggish conditions, the consistent demand for plain chains and bangles continues to offer a measure of stability. These relatively low-risk purchases appeal to shoppers wanting to keep up their gold investment habits without breaking their budgets.
“There’s still a steady stream of customers who walk in asking for 15 to 20-gram bangles or chains, especially those that stay under the Dh3,000 mark,” said another retailer. “They’re not looking for designs or gemstones. They just want something simple that adds to their collection and holds value.”
In an uncertain market, this strategy makes sense – practical, weight-based purchases with minimal frills allow buyers to invest in gold without falling prey to high design premiums or volatile pricing. For now, this segment is keeping the gold retail industry afloat during a season otherwise marked by hesitation and price anxiety.
As the UAE waits for global gold prices to stabilize, industry players remain cautiously optimistic that demand will bounce back once market confidence returns. Until then, it's the small, steady purchases that continue to keep tills ringing.
