Silver is the new gold, but for the poor, expert says
Silver prices set for a dramatic rise
KUWAIT: Silver prices are set for a dramatic rise, projected to double by 2025, as forecasted by Salah Al-Jemaz, a consumer behavior consultant specializing in the gold and precious metals sector. When gold prices go up due to global events, silver tends to follow, although usually at a lower value, according to Jemaz.
He suggested that the projected increase in silver’s value could soon position it as “The Gold of the Poor.” “It’s the wisdom of God that there will be a commodity affordable for the rich and a commodity affordable for the poor,” he said, noting how this brings a sense of justice to the world. Due to its greater abundance and lower prices, silver can often get overlooked in favor of gold. While gold remains a good investment, silver also holds great potential. However, unlike gold, which can yield instant returns, Jemaz pointed out that silver’s value will become more apparent over time, at least three years from now.
He advised being patient when investing in silver, as the market is still adjusting to its dynamics. Just as it took gold years to change from being monopolized by associations to gradually becoming accessible to individuals, silver too needs time to find its place in the investment landscape. The manipulation of silver prices over the past 12 years is identified by Jemaz as the primary catalyst for its impending price surge. “With persistent high inflation rates and escalating prices across various sectors, central banks cannot indefinitely control silver prices,” he explained. “Maintaining price stability in such times is simply unrealistic.”
He also noted that the prices of silver will be influenced by high demand in certain industries, particularly the healthcare sector, where silver is essential for manufacturing medical technology equipment. Additionally, the transition of the world to renewable energy will increase the demand for silver, as it is a key component in electric car batteries.
The fact that silver is considered an industrial metal is the reason why many consumers are underestimating its value, but Jemaz countered this misconception. “It’s a metal with a monetary value and it is considered an international currency.” In the past, gold and silver were used as money (means of exchange), and Jemaz believes they’ll make a comeback as the value of paper money declines. “This shift is particularly concerning for banks, as they profit from the interest on paper money, a benefit not offered by gold and silver.”