Visit the jewelry shop? Iraq’s soaring gold prices put weddings on hold

Shafaq News/ The dream of tying the knot with a golden sparkle is slipping out of reach for many young Iraqis, as surging gold prices wreak havoc on wedding plans and stall activity in the country’s jewelry markets.

Gold prices in Iraq have skyrocketed past 690,000 IQD (about $110) per mithqal (4.25 grams) for 21-carat gold — a level many couples can no longer afford. Some shops are seeing daily sales plummet, while larger stores have begun cutting staff due to shrinking demand.

“People are holding off on getting married,” said Maher Mohammed, a Baghdad-based jeweler, in an interview with Shafaq News Agency. “They can’t afford the gold anymore. It’s affecting the whole market.”

Retail gold prices on Monday showed 21-carat Gulf gold selling between 695,000 and 705,000 IQD per mithqal, while the locally refined equivalent ranged from 665,000 to 675,000 IQD.

With the price poised to hit 700,000 IQD, many Iraqis have shifted from buying gold for celebrations to hoarding it as a hedge. “People are treating gold as a safe investment now,” said Mohammed Marza, another jeweler in the capital. “But it’s driving away the average couple. What used to buy 10 mithqals now only gets seven.”

Rising Costs, Shrinking Options

Gold’s price hike has prompted many couples to scale back significantly. “The middle class is settling for just a light necklace, earrings, and a ring — or even less,” said Mohammed. “Those budgeting 3 million IQD are finding the same set now costs nearly double.”

The sharp rise has renewed calls for easing marriage requirements and reducing dowries. “Even a modest gold set costs at least 4 million IQD (about $2700),” said Um Hassan, a resident of Karbala. “That’s more than most government employees can afford — let alone those on daily wages.”

She pointed out to Shafaq News that gold is just one part of the burden. “Add furniture, clothes, and other essentials — young men need at least 25 million IQD to get married.”

Tradition Under Pressure

Under Iraqi custom, marriage contracts include both a “present” and “deferred” dowry, often expressed in monetary terms and partially allocated for gold and household furnishings.

Islamic scholar Haidar al-Tamimi explained that dowries typically start at 5 million IQD for each portion, and rising gold prices are complicating this tradition.

“As gold becomes more expensive, families may start demanding higher dowries in cash instead, to preserve the perceived value,” he told Shafaq News.

A Call for Support

Economic expert Karim al-Hilu urged the government to step in with support measures, including interest-free loans of 5–10 million IQD specifically for gold purchases, modeled after existing marriage loans of 3 million IQD. “These loans could be repaid in installments and disbursed transparently, based on marriage contracts,” he remarked to Shafaq News.

Al-Hilu linked the global price spike to a broader shift in economic policy. “BRICS countries are dumping US bonds and buying gold, pushing up global demand,” he confirmed. “Meanwhile, gold’s role in electronics is expanding, adding more pressure.”

Trade tensions, he added, are also a factor. “Trump’s tariffs on gold, the falling dollar, and geopolitical frictions — especially with China — are all driving the price up. Gold and the dollar have an inverse relationship, and we’re seeing that play out clearly.”

*1 US dollar = 1,460 IQD