Silver prices surged 12.4% in April 2026, outperforming gold and most major commodities for the month, driven by robust industrial demand from the solar energy and electronics manufacturing sectors. MCX silver futures touched Rs 1,08,000 per kg, while Comex silver rose above $38 per troy ounce — its highest level since 2011. The gold-to-silver ratio narrowed to 78:1 from over 90:1 at the start of the year.
The primary driver of silver's industrial demand surge is the explosive growth in global solar panel installations. Each gigawatt of solar capacity requires approximately 20 tonnes of silver for photovoltaic cell manufacturing. Global solar installations are expected to exceed 800 GW in 2026, up from 600 GW in 2025, creating unprecedented demand for silver as a key industrial input in the clean energy transition.
Investment demand for silver has also been strong, with global silver ETFs recording net inflows of 450 million ounces in Q1 2026 as investors bet on the metal's dual role as both an industrial commodity and a monetary metal. Indian retail investors have shown particular interest in silver as an alternative to gold at record-high prices, with silver SIPs on digital platforms growing 40% month-on-month. Analysts at ICICI Direct have a 12-month price target of Rs 1,20,000 per kg on MCX.
