AS gold prices continue to soar, reaching record highs globally, the demand for this precious metal remains robust.
In Malaysia, gold prices have fluctuated significantly, with 24K gold peaking at RM447 per gramme recently.
The average gold price in Malaysia for 2025 was approximately RM12,627 per ounce, with a high of RM13,525 per ounce this month.
Habib Group, a leading jeweller, has witnessed a 20 per cent increase in sales, driven by younger investors seeking safe-haven assets amid market uncertainties.
In an exclusive interview with its executive chairman, Datuk Seri Meer Sadik Habib, Sarawak Tribune gained insights on how gold remains integral to Malaysian culture, both as a financial asset and a symbol of wealth preservation.
A Timeless Investment
Habib’s origins trace back to Penang, where it was initially known for fine jewellery, diamonds, gemstones and coloured stones.
Over time, its focus has shifted more towards the retail market, particularly gold.
According to Meer, gold has become Habib’s main business.
“In Malaysia, we have a very strong gold culture.
“Whether in Sarawak, Sabah or the peninsula, people buy gold both as an investment and an adornment,” he said.
Despite economic uncertainties, gold sales have continued to surge.
“Over the last five years, people’s confidence in gold has grown significantly.
“Some purchase new jewellery with confidence that gold prices will rise even further.
“Others trade in their old jewellery for new pieces, taking advantage of the higher resale value.
“Some even sell their old pieces for cash.
“This deep-rooted appreciation for gold has become an integral part of Malaysian culture,” he said.
Defying Economic Logic: High Prices, Higher Sales
Conventional economic wisdom suggests that when prices rise, demand declines.
However, Habib Group’s experience proves otherwise.
Meer said that although gold prices go up, their sales continue to increase.
He noted that ever since the pandemic hit, people have been more cautious with their spending.
However, gold has something that holds its value.
“When people buy gold jewellery, they don’t just get a beautiful accessory but they see that they are also making a long-term investment.
“Last year, gold prices increased by 29 per cent, and this year, they have seen another sharp rise.
“Customers who bought last year have already seen a 30 to 40 per cent increase in value.
“That confidence keeps driving demand,” he said.
Furthermore, he pointed out that despite rising prices, demand remains robust in Habib as they designed new collections featuring bold, beautiful jewellery that looks large but is actually lightweight.
“Using new technology, we ensure that customers get the grandeur they desire without the excessive cost,” he said.
Moreover, with Hari Raya round the corner, Habib anticipates a continued surge in gold sales.
According to Meer, every festive season, Habib introduces new and unique designs for its customers.
“As a proud Malaysian brand, we are promoting our own tradition, our culture and our art.
“Many people think international brands are superior, but we want to put Malaysia on the map with our unique and high-quality designs.
“This year, for example, we have a theme that was inspired by Malaysia’s rich heritage, particularly ‘anyaman’ (woven patterns) and traditional kites (‘wau’).
“This theme has so far received a good response among our customers,” he said.
Aside from this, Habib’s festive collection this time around also includes the wildly popular butterfly pendant.
“People queued up all over Malaysia for it.
“It went viral!
“As the demand for this particular pendant is high, we are working very hard in the factory to make it available for the people.
“Though I cannot promise that everyone will get it, we will try to restock the pendant as soon as we can,” he said.
Having said that, he also noted that Habib’s sales performance this Ramadan has been unprecedented.
“This has been the busiest Ramadan in our company’s history.
“Typically, customers shop during the last two weeks of Ramadan, but this year, we’ve been busy from day one.
“The gold price surge has played a huge role in driving this demand,” he said.
Special Focus on Sarawak and Sabah
Recognising the significance of regional festivals, Meer revealed that Habib is also preparing for the Gawai and Kaamatan celebrations in Sarawak and Sabah.
“Hari Gawai is a major promotional period for our Kuching branch.
“We’re working on exclusive designs for the Harvest Festival, which will initially launch in Borneo before being made available nationwide.
“Our goal is to celebrate Malaysia’s diverse cultures through our jewellery,” he said.
As demand for gold continues to rise, he said that the group is actively exploring opportunities for expansion in Sarawak.
“We are looking at potential locations, not just in Kuching, but also in Miri and other parts of the state.
“Hopefully, we can open new branches soon,” he said.
