As gold prices continue to rise, there is growing interest in Ghana to invest in gold jewelry. Nana Akwasi Awuah, an influential figure in the jewelry industry, has urged Ghanaians to consider gold jewelry as a valuable investment, citing its potential to increase in value and offer financial security.
The Precious Minerals Marketing Company (PMMC) is actively promoting gold jewelry as a wise investment choice for Ghanaians. Nana Akwasi Awuah, who serves as the Managing Director of PMMC, emphasized that gold jewelry can be a reliable financial safeguard during economic downturns, thanks to its potential for long-term appreciation.
“While a jeweler or a manufacturer who is sourcing gold to do jewelry may complain about the rising cost of gold, it will interest you to know that somebody who buys gold as an investment will be happy when they see gold prices going up. It is a fair balance”. Nana Akwasi Awuah explained.
Awuah stressed the importance of understanding gold price trends, which can help manufacturers make informed decisions about when to purchase materials and when to wait for prices to drop. For investors, rising prices signal a favorable market, making gold jewelry an attractive long-term investment.
He also observed a growing trend among Ghanaians, particularly mothers, who regularly purchase jewelry as a form of savings, with amounts ranging from GH₵1,000 to GH₵2,500.
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“Incidentally, they are the mothers. It is the mothers we find doing that but we want to encourage everyone – mothers, fathers, men, women, young men, young women, please invest in gold jewelry and you will be very happy 10,15, 20 years down the line,” Awuah urged.
Awuah made a strong case for the potential returns on gold jewelry investments, saying that “what you buy today at GHȼ5,000 will turn out to be about GHȼ50,000 5-10 years down the line.”
This projection underscores the long-term value of investing in gold, especially in a country like Ghana, renowned for its rich gold reserves.
The jewelry market in Ghana faces challenges, particularly with rising production costs driven by the increasing price of gold. Jonathan Ababio, President of the Ghana Association of Jewellers, has called on stakeholders to reserve a portion of the gold mined in the country for local manufacturers to help stabilize production costs.
At the launch of the Gold Statement last year in Accra, Mr. Ababio highlighted the difficulties local manufacturers face in accessing gold, which drives up their production costs and leads to higher prices for gold products in Ghana compared to other markets.
“Our costs have risen significantly due to the challenges in obtaining materials, especially when we compare ourselves to our competitors in the Western world,” he noted.
