Global demand for gold slumped in 2020 due to the impact of the COVID-19 pandemic, the World Gold Council (WGC) said in a report.

 

Last year, global gold demand declined 14 percent year on year to 3,759.6 tonnes, its lowest level since 2009, according to the WGC.

 

Demand for gold jewelry plunged 34 percent from the previous year to 1,411.6 tonnes, reaching a historic low.

 

In contrast, rising economic uncertainty amid COVID-19 fueled safe-haven investment demand for the yellow metal.

 

The report showed that gold investment surged 40 percent to 1,773.2 tonnes in 2020, with the inflow of gold-backed exchange-traded funds (ETFs) hitting 877.1 tonnes.

 

The demand for gold bars and coins rose 3 percent year on year to 896.1 tonnes.

 

In 2020, the global gold supply dropped 4 percent to 4,633 tonnes, according to the WGC.