Will the Silver Rate Decrease in the Coming Days in India?

Silver not only serves as a commodity nowadays, their industrial demand in various sectors such as solar, electric vehicles, etc. has also increased over time. But the investors are confused about whether the prices of silver will decrease over time.

In today’s blog post, we will give you an overview of the historical price movement of silver, along with the key factors affecting silver prices in India. 

Current Overview of Silver Trend

The prices of silver are making record highs not only in India but also globally. The silver price crossed 2.5 Lakh INR per kg in early 2026. The rally has been significantly driven by various factors such as strong industrial demand by different sectors, such as the solar industry, EV, electronics, etc. Rate cuts, weakening INR, are also considered a key reason for driving the silver price. Geopolitical tensions are causing investors to invest in silver as it is also considered a haven. The silver prices will continue to make new highs in the near future, followed by minor corrections.

Historical Price Movement of Silver

The silver price in India has shown a clear uptrend over the last few years. Prices remained stable before 2020, but when COVID struck, the demand for silver increased as it was considered a haven. However, after 2021, the prices of silver saw some consolidation, and after 2023, it went on a straight one-way upward rally. And in 2025, it made a lifetime high because of several reasons. 

Year	Silver Price in India (INR/Kg) (Approx.)	Reason for Price Movement
2019	40600	Due to modest global demand, the prices remain stable, and prices recover from earlier volatility.
2020	63400	The prices of silver rose exponentially because of global economic uncertainties due to COVID-19, as silver is considered a haven during such periods.
2021	62500	Global market stablized then the prices were slightly corrected but remained stable.
2022	55100	Prices saw a sharp correction because of the normalisation of economic activities and easing of pandemic pressure.
2023	78600	The demand for silver increased due to demand from industries, which eventually increased the prices of silver.
2024	95700	Continued industrial demand from different sectors, such as solar, EV, etc. making a historical high.
2025	211000	Prices of silver are record high because of consistent demand, supply shortage, and currency impact.

Factors Affecting Silver Prices in India

The key factors that affect the silver prices in India are as follows:

1. Exchange Rate: India primarily imports silver from other countries. Weakening the INR makes silver imports costlier, which eventually increases the prices of silver in the domestic market.
2. Industrial Usage: The industrial usage of silver is increasing as it is used in solar panels, electric vehicles, electronic and medical equipment, etc.
3. Inflation: If inflation rises in the economy, silver is often considered a hedge against inflation, which enhances the purchasing power of the investor.
4. Geopolitical Conditions: If the geopolitical conditions across the world were not stable, then such instability would increase silver prices.

Read Also: Silver Rate Prediction for the Next 5 Years in India

Will the Silver Rate Decrease in the Coming Days in India

Silver prices in India change based on several factors such as industrial demand, global market trends, and investor activity. Unlike gold, silver serves two purposes – it is both a precious metal and an important industrial material – which makes its price move up and down more sharply.

Key Factors Influencing Silver Prices

1. Industrial Demand: The need for silver in industries like solar power, electric vehicles, electronics, and semiconductors remains high. This steady demand helps keep prices supported.
2. Global Interest Rates and the US Dollar: When global interest rates rise or the US dollar strengthens, silver prices can see short-term drops – just like gold.
3. Gold–Silver Ratio: If silver prices fall behind gold, investors often expect silver to catch up. This expectation can prevent large price declines.
4. Economic Growth: If the global economy slows down, industrial demand for silver may weaken for a while, leading to a temporary fall in prices.
5. Indian Market Factors: In India, local silver rates are also affected by the value of the rupee, import duties, and growing investor interest through Silver ETFs.

Motilal Oswal forecasts that silver could continue its rally through 2026, setting targets around ₹3.20 lakh per kilogram in India due to strong industrial demand, ETF flows, and supply constraints.

Read Also: Best Silver ETFs in India

Factors that Could Lower the Silver Price

Several factors could lower the silver prices in India, few of these factors are mentioned below:

1. Strong INR: A stronger INR against the dollar will lead to a reduction in import cost, which makes it cheaper for the domestic market.
2. Supply: If the global supply of silver is increased, it will lead to a fall in the price of silver and remove the constraint on the silver price.
3. Easing Geopolitical Tension: Situations of wars, trade tariffs, etc., will increase the prices of silver. Hence, stable geopolitical conditions will lead to stable silver prices.
4. Demand: Any reduction of demand from key sectors which use silver as a raw material for their products, such as solar energy, electric vehicles, etc., will lead to a decrease in the price of silver.

Invest In Silver fund

Here are some of the top Silver mutual funds in India that combine large AUM (Assets Under Management) with strong returns that are competitive above industry averages

1. ICICI Prudential Silver ETF FoF Direct – Growth

• AUM – ₹5,906
• 1 Year Returns – 218.21 %
• 3 Year CAGR – 61.11 % 

2. HDFC Silver ETF FoF Direct – Growth

• AUM – ₹3,281
• 1 Year Returns – 216.23 %
• 3 Year CAGR – 61.20 %

3. Nippon India Silver ETF FoF Direct – Growth

• AUM – ₹3,705
• 1 Year Returns – 218.83 %
• 3 Year CAGR – 61.19 %

4.  SBI Silver ETF FoF Direct – Growth

• AUM – ₹2,763
• 1 Year Returns – 220.23 %
• 2 Year CAGR – 111.39 %

5. Tata Silver ETF FoF Direct – Growth

• AUM – ₹798
• 1 Year Returns – 212.15 %

Invest In Silver Etf

These are based mainly on 1-year return figures and notable performance trends

1. ICICI Prudential Silver ETF

• AUM – ₹14,828
• 1 Year Returns – 238.10 %
• Expense Ratio – 0.40%

2. HDFC Silver ETF

• AUM – ₹6,074
• 1 Year Returns – 236.07 %
• Expense Ratio – 0.45%

3. SBI Silver ETF

• AUM – ₹4,747
• 1 Year Returns – 235.60 %
• Expense Ratio – 0.40%

4. Kotak Silver ETF

• AUM – ₹3,379
• 1 Year Returns – 232.78 %
• Expense Ratio – 0.45%

5. Aditya Birla Sun Life Silver ETF

• AUM – ₹2,895
• 1 Year Returns – 238.73 %
• Expense Ratio – 0.35%

Global Affect on Indian Silver Price in 2026

Global factors are playing a key role in deciding the silver prices in India, and most of the global cues are pointing towards the strength in the silver prices in the coming years. The industrial demand for silver is increasing across the world, especially for sectors like solar energy, electric vehicles, electronics, etc. Such an increase in demand will push the prices upward. On the other hand, the expected interest rate cuts and current geopolitical uncertainties will lead to an increase in the prices of silver. Weak INR also acts as a catalyst for this price rise.

Read Also: How to Invest in Silver in India?

Conclusion

On a concluding note, the future outlook of silver remains positive in 2026, followed by various global and domestic factors. A short-term correction is expected due to profit booking, but the long-term view will remain positive. The silver prices are rising because of its increasing industrial usage in the solar industry, electronics, electric vehicles, etc., and this will support its structural demand in the long run. Weakening global cues and depreciating INR will also push the price upward. One can invest in silver only after consulting their investment advisor.

Gold Rate in Top Cities of India	Silver Rate in Top Cities of India
Gold rate in Ahmedabad	Silver rate in Ahmedabad
Gold rate in Ayodhya	Silver rate in Ayodhya
Gold rate in Bangalore	Silver rate in Bangalore
Gold rate in Bhubaneswar	Silver rate in Bhubaneswar
Gold rate in Chandigarh	Silver rate in Chandigarh
Gold rate in Chennai	Silver rate in Chennai
Gold rate in Coimbatore	Silver rate in Coimbatore
Gold rate in Delhi	Silver rate in Delhi
Gold rate in Hyderabad	Silver rate in Hyderabad
Gold rate in Jaipur	Silver rate in Jaipur