Gold prices climbed to record levels in 2025 as people and governments turn to the precious metal for safety during uncertain times.
According to the Monthly Mining report issued by the Chamber of Mines of Namibia, the average price of gold in May 2025 reached US$3 309 per ounce, marking a 39% increase over the 2024 average and a striking 41% rise compared to the same month last year.
At the same time, uranium prices have dipped from last year’s peak but remain much higher than before the pandemic. Demand for nuclear energy and support from US policy have kept interest in uranium strong, even as the market takes a breather.
“Gold’s role as a strategic asset has only deepened in the face of global economic volatility. The combination of inflation concerns, central bank diversification, and conflict-driven uncertainty has provided a robust tailwind,” the Chamber states.
Month-on-month, prices rose 3% between April and May 2025, reinforcing the trend of sustained upward momentum. Compared to pre-pandemic levels, gold has now surged by 117% since 2019, highlighting its long-term appeal and strategic repositioning in global financial portfolios.
While gold continues to increase, uranium has experienced exceptional growth over the past five years, with prices rising from US$25.5 per pound in 2019 to a peak of US$86.4 in 2024. The average year-to-date price declined by 21% to US$68.1 per pound in 2025.
“Despite this adjustment, uranium remains 167% above pre-Covid levels, driven by the global shift toward nuclear energy as a clean and reliable power source, coupled with persistent supply-side constraints. The 2025 dip is likely a reflection of short-term market rebalancing following strong speculative and structural investment in prior years,” the report states.
Importantly, uranium has been exempted from the recent US tariff regime under the Trump administration, reinforcing its strategic role in national energy security. This exemption has further bolstered market sentiment, distinguishing uranium from other commodities facing trade barriers and supporting a positive long-term price outlook anchored in strong policy and investment support.
According to the Namibian CPI, Namibia recorded an annual inflation rate of 3.5% in May this year, which is a notable decrease from the 4.9% in May 2024. This signifies a general alleviation of price pressures over the preceding year. On a month-to-month basis, inflation remained stable at 0.2%, consistent with the rate observed in April 2025.
Moreover, the core inflation rate, which excludes volatile components such as food and energy, rose slightly to 4.1%, indicating that underlying inflationary pressures persist. Disinflation in Namibia has mixed implications for the mining sector. On the positive side, slower inflation helps ease cost pressures on mining operations, particularly in areas such as fuel, imported machinery, and transport services, which are often sensitive to price volatility.
Meanwhile, the latest mining production indices by the Namibia Statistics Agency for April 2025 show a notable divergence across Namibia’s key mineral commodities, with uranium continuing to outperform, while diamonds, gold, and zinc concentrates and contained metals experienced significant monthly declines. The indices for April 2025 depict a mixed picture across Namibia’s mineral commodities, influenced by global market trends, operational challenges, and local production conditions.