Sri Lanka’s domestic gold market is facing a growing disparity between local and international bullion prices, largely driven by oversupply within the country. Current rates show that 22-carat and 24-carat gold jewellery prices continue to trade at a premium locally, even as global gold benchmarks ease. Local traders say that abundant domestic stocks and weaker demand from export channels are contributing to the widening price difference, keeping Sri Lankan buyers paying relatively more for gold than international investors. The trend is also compounded by fluctuations in foreign exchange rates and importing conditions that affect bullion costs at the retail level. Many market analysts caution that until supply and demand dynamics balance, the gap between local and world gold prices is likely to persist, affecting both consumers and traders throughout the island.