Dubai has announced an ambitious plan to develop a new, comprehensive gold district as it aims to solidify its position as the global hub for the precious metal’s retail and trade. The project will be developed by Ithra Dubai, a wholly-owned subsidiary of the Investment Corporation of Dubai, and will feature the world’s first street paved with gold as a major tourist attraction.
A Strategic Move Amid Soaring Prices
The announcement comes as the price of gold continues its upward trajectory, recently surpassing $5,200 per ounce for the first time this year. This surge is largely driven by a weakening US dollar and persistent geopolitical tensions, which have increased demand for safe-haven assets like gold.
According to the World Gold Council, investors purchased 537 tonnes of gold in the third quarter of 2025, a 47 percent increase year-on-year. The UAE is already a dominant force in the market, ranking as the world’s second-largest physical gold trading destination and exporting $53 billion of the commodity in 2024-25.
Unifying the Gold Ecosystem
The new district is designed to create a unified ecosystem by bringing together the entire value chain of the gold and jewellery industry in one location. Planners envision a central hub spanning retail, bullion, wholesale trade, and investment.
The development will house over 1,000 retailers across gold, jewellery, perfumery, cosmetics, and lifestyle categories. This modern hub aims to complement Dubai’s existing four-decade-old gold souk in Deira, which currently hosts more than 380 retailers.
Part of a Broader Expansion Vision
This project is part of a wider strategic push to expand Dubai’s economic infrastructure and maintain its first-mover advantage in the region. The move aligns with other large-scale developments, such as the recently revealed AED 100 billion ($27 billion) expansion of the Dubai International Financial Centre (DIFC), which is set to nearly triple its size by 2040.
About Ithra Dubai
Ithra Dubai LLC is a leading real estate developer and asset manager, wholly owned by the Investment Corporation of Dubai. Ithra Dubai’s rich portfolio of projects is designed to embrace diversity, shape happy communities, and bring prosperity to the nation.
Source: AGBI
