Rising gold prices in the UAE are prompting families to purchase less elaborate wedding jewellery, choosing smaller and lighter pieces to manage costs while still maintaining traditional gifting and ceremonial customs.
Soaring gold rates lead UAE families to opt for smaller, lighter jewellery for weddings
As Maryam Alshamsi prepared for her son’s wedding, the surge in gold prices led her family to reconsider their jewellery purchases. “We are still investing in gold, but we are being much more selective and mindful than before,” she explained.
Rather than buying numerous heavy pieces, the family opted to reduce the total weight of the wedding jewellery.
“We chose to concentrate on a few meaningful and practical items,” Alshamsi added, noting that lighter designs can still be stylish while keeping expenses manageable. She also highlighted the growing trend of incorporating heirloom jewellery. “Reusing family pieces helps cut costs and adds sentimental value. Gold remains a wedding essential—even in smaller amounts, it is an important tradition.”
Alshamsi’s experience reflects a broader shift unfolding across the UAE as gold prices continue to trade near record highs. Families are adjusting wedding jewellery purchases by opting for lighter designs, lower caratage and more selective buying, while keeping gold firmly embedded in wedding traditions.
Market analysts say the rally in gold prices is being driven by global geopolitical uncertainty and a structural shift in institutional demand. Monal Thakkar, managing director at Ashoka Global FZCO, said the surge reflects more than short-term volatility.
“What we are witnessing is not a typical price cycle,” Thakkar told Khaleej Times. “Central banks are making a long-term strategic shift toward gold, effectively locking away supply and reshaping the market for years to come.”
According to Thakkar, this sustained institutional buying has created a strong price floor, even as retail buyers become more cautious. “Retail demand may slow during periods of record prices, but gold’s role as a strategic asset has strengthened,” he said. “This has created stability in prices, even when consumer behaviour adjusts.”
Changing wedding jewellery trends in the UAE
In the UAE, especially Dubai, famously called the ‘City of Gold,’ rising gold prices have visibly influenced consumer behaviour. Traditionally, weddings relied heavily on high-carat gold, with 22K and 21K pieces dominating bridal sets.
“In the UAE, the cultural appetite for gold remains strong, but buyers are becoming more discerning,” said Thakkar. “We see a noticeable shift towards 18K and even 14K jewellery, with lighter and minimalist designs that balance heritage with cost-effectiveness.”
Jewellers are responding by emphasising artistry and craftsmanship over sheer weight. “This isn’t a drop in demand,” Thakkar added. “It reflects an evolution shaped by price awareness and value considerations.”
Global factors supporting gold prices
Vijay Valecha, chief investment officer at Century Financial, echoed this sentiment, noting that gold remains robust due to institutional buying, geopolitical uncertainties, and expectations of lower interest rates.
“Gold’s current strength is supported by a combination of institutional demand, geopolitical tension, and potential rate cuts,” Valecha told Khaleej Times. “Even with short-term fluctuations, the overall rally has a strong structural foundation.”
For weddings, he explained, rising prices don’t reduce demand—they alter buying behaviour. “High prices reshape purchasing choices. Families maintain tradition but adjust the quantity and timing of jewellery acquisition,” he said. Many opt for fewer heavy pieces, favour lighter designs, or repurpose existing jewellery. “Gold continues to be a store of value rather than a speculative instrument,” Valecha noted, stressing stability over temporary price swings.
Cultural significance remains strong
Despite price increases, gold remains a staple of weddings in the UAE, particularly during peak shopping periods like the Dubai Shopping Festival. While overall volume may decrease slightly, cultural importance sustains steady demand.
“The quantity may vary, but gold’s central role in weddings persists,” Valecha concluded, underlining the enduring connection between tradition and jewellery in the UAE.
