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Goldman Sachs Predicts Gold Prices To Surge To $3,700 By Late 2025

In a bold forecast, Goldman Sachs has increased its gold price prediction to $3,700 per ounce by the end of 2025. This adjustment comes amid unexpected demand from central banks and a strengthening perception of recession risks, drawing investors towards gold ETFs.

Key Points

  • Initial forecasts pegged the price at $3,300, but central banks’ monthly gold acquisitions, averaging 80 tons — much higher than the 17-ton average before 2022 — have warranted a forecast revision.
  • Gold prices have already seen a significant increase of over 23% in 2025, surpassing the $3,200 mark for the first time.
  • Should central banks continue acquiring at an accelerated pace, or if a recession prompts a capital influx into ETFs, gold could rise to $3,880 within this year.

What To Watch

Economists estimate a 45% chance of a U.S. recession within 12 months, potentially redirecting capital to gold ETFs. Should central banks ramp up purchases to 100 tons monthly, or recession-driven demand persist, gold might reach $3,880 by year-end. Alternatively, if economies show resilience and political uncertainty lessens, gold prices could stabilize around $3,550.

Cyprus Introduces €200 Million Support Measures To Cut Energy And Food Costs

Comprehensive Relief Measures For A Resilient Economy

The government of Cyprus introduced support measures exceeding €200 million to reduce household expenses and support key sectors. The package targets energy costs, food prices, tourism and agriculture. Measures come in response to rising costs and supply pressures. Implementation begins in April and May 2026.

Energy And Fiscal Reforms

The government will reduce VAT on electricity for households to 5% from May 1, 2026, to March 31, 2027. The measure is expected to lower energy bills. Special consumption tax on transport fuels will decrease by 8.33 cents per liter between April and June 2026. Policy targets fuel-related costs.

Broadening The Zero VAT Initiative

Authorities will expand the list of products with zero VAT. Meat, poultry and fish will be included from April 1 to September 30, 2026. Existing zero-VAT categories already include fruits and vegetables. The government also decided not to introduce a green tax on fuels, avoiding an additional cost of about 9 cents per liter.

Sector-Specific Supports

The package includes a 30% wage subsidy for hotel employees for April 2026. Measure supports tourism businesses during the early season. Support for airlines aims to maintain connectivity with key destinations. The agriculture sector will receive subsidies covering 15% of costs for fertilizers and supplies in April and May.

Economic Stability, National Security

President Nikos Christodoulidis said economic stability remains a priority for the government. He noted that growth, fiscal balance and inflation trends support current policy decisions. Statement links economic policy with broader national priorities. The government continues to monitor external risks.

Ensuring Consumer Protection

Furthermore, the government has mandated rigorous market oversight and intensified inspections to prevent exploitative pricing during this period of economic intervention. This proactive stance ensures that the benefits of the measures directly serve the citizens without unintended inflationary impacts.

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