Silver Rates Soar to All-Time High of ₹1.31 Lakh/kg in India

Silver prices continued their upward rally in India, with the metal hitting an all-time high of ₹1,31,000 per kilogram.

Over the past five days alone, silver has jumped by ₹6,000 in Hyderabad. On August 25, one kilogram was priced at ₹1,31,000 compared to ₹1,26,000 on August 21, 2025.

The surge in silver is being driven by multiple factors, with industrial demand topping the list.

Silver remains critical for industries such as solar panels, electric vehicles (EVs), and electronics. Industrial demand is projected to cross 700 million ounces this year, with global usage rising from 993 million ounces in 2016 to 1.16 billion in 2024.

Persistent supply shortages have also fueled the record highs. The silver market has been facing a crunch since 2021, with forecasts pointing to a deficit of nearly 149 million ounces in 2025, highlighting tight supply conditions.

Amid global economic uncertainty—triggered by geopolitical tensions, inflation fears, and a weakening U.S. dollar—investors have turned to silver as a hedge asset. Growing purchases by institutions and central banks have further lifted demand.

Silver’s hedge appeal, coupled with rising industrial needs and shrinking supply, has boosted investor sentiment. Financial institutions like HSBC have revised their silver forecasts upward for 2025–2027, with many analysts pointing to a possible “supercycle” powered by industrialization and dwindling inventories.

Meanwhile, gold prices edged lower, with 24K gold at ₹10,151 per gram. In Hyderabad, the price of one gram slipped marginally to ₹10,151 on August 25, down from ₹10,162 on August 24.