The Mneimneh Diamond in the Barbeer neighborhood of Beirut is expecting a surge in customers looking to buy or sell gold as the Eid holiday approaches. Many see gold as a more secure investment compared to traditional currency.
Mahmoud Al Masri, an employee at the store for 18 years, emphasizes the stability of gold as an investment during uncertain times, stating, “Right now, the market is slow because of the situation in the region. This is safer than cash, because when you buy gold, you spend less and its value goes up, not down.”
He further explains, “If you had $1,000, its purchasing power has decreased since last year, whereas with gold, you stand to gain more money over time.”
The financial crisis that began in 2019 in Lebanon led many individuals to sell their gold due to the scarcity of dollars in the country. Al Masri notes the shifting trend, saying, “When people had $50 in the past, they used to buy a ring with it. But now, gold prices have risen, prompting more individuals to consider gold as a form of savings, given their diminishing trust in cash or banks.”
Despite the challenging economic situation in Lebanon, there are signs of improvement. Customers like Reem Mourtada, who received jewelry as an engagement gift, visit the store with their families for support and guidance in their gold purchases, emphasizing the importance of familial bonds.
Encouraging others to explore the offerings at the store, Mourtada highlights her satisfaction with the products she received.
In Beirut, Tarek Akkawai, a specialist in jewelry cleaning and repair, has also noticed the impact of the crisis on his business. He mentions the fluctuating amounts of gold he handles daily, ranging from 1kg to 3kg, reflecting the changing market dynamics.
Akkawai explains, “There was a larger volume of scrap gold in the market previously. We deal with both used and new gold, creating unique pieces from scrap gold and showcasing clean pieces in our collection.”
Updated: June 15, 2024, 1:36 PM
Insight: Highlighting Stability and Family Support
In times of economic uncertainty, the stability of gold as an investment becomes a significant factor for consumers. Additionally, the importance of familial support and guidance in making financial decisions, as seen with customers like Reem Mourtada, underscores the value of close familial relationships in navigating challenging economic landscapes.
