ME gold demand adversely affected by high prices, economic uncertainty in Q12009

Demand for gold in the Middle East fell 26 percent on the year during Q12009 as economic uncertainty and high prices discourage buyers, according to a recently released industry report. During this period, gold sales in the region fell by 26 percent to 53.6 tonnes, the World Gold Council (WGC) said in its quarterly report. According to Rozanna Wozniak, Investment Research Manager at WGC, the largest Arab economy Saudi Arabia was the only country in the region that saw jewellery demand rise by 8 percent in Q12009. The UAE, the second largest Arab economy, saw demand volume for jewellery 33 percent during this period, while investment volume fell 15 percent. Egypts jewellery demand fell by 15 percent, less than the global average of 24 percent.