Understanding Gold Purity (Karats)
The karat system measures the purity of gold in parts per 24. 24 karat is pure gold (99.9%), while lower karats contain other metals like silver, copper, or zinc to improve durability.
24K Gold — The Purest Form
Best for: Investment (bars, coins)
24K gold is the most valuable per gram and the best choice for investment purposes. It is too soft for most jewellery but perfect for gold bars, coins, and ETF-backed holdings. Every major gold exchange, including LBMA and COMEX, trades in 24K standards.
22K Gold — The Jewellery Standard in South Asia
Best for: Jewellery in Pakistan, India, Middle East
22K is the dominant choice for jewellery across South Asia and the Middle East. It strikes the ideal balance between purity and durability. In Pakistan's Sarafa markets, the officially published gold rate is for 24K, but most jewellery sold is 22K.
18K Gold — Popular in Western Markets
Best for: Jewellery in Europe and USA
18K is preferred in Western jewellery markets due to its greater hardness and scratch resistance. It also allows for more vivid colour options (rose gold, white gold) through alloy composition. It retains about 75% of gold's intrinsic value.
Which Should You Buy?
- For pure investment: buy 24K bars or coins
- For jewellery in Pakistan/India/UAE: 22K is standard
- For everyday jewellery: 18K offers durability and style
- For resale value: 22K or 24K have stronger resale markets