Mumbai, March 6 (IANS) The year 2025 presents a promising outlook for silver with a favourable mix of industrial demand, supply constraints, and technical momentum, a new report said on Thursday. According to Emkay Wealth Management Limited report, there is a bullish outlook on silver for the next 12 to 18 months. The firm believes that both medium-term and long-term factors support a continued rise in silver prices, driven by falling US interest rates, geopolitical uncertainties, and growing industrial demand, particularly from the Electric Vehicle (EV) and green energy sectors. The long-term outlook for silver remains strong due to its increasing industrial usage. The precious metal is a key component in electronic devices, circuit boards, solar panels, and EV batteries. With the continued adoption of EVs and green energy technologies, industrial demand for silver is expected to remain robust. According to Emkay Wealth Management, around 60 per cent of silver’s total demand comes from industrial applications. However, silver prices have seen a notable rise in recent times. In Indian rupee terms, prices have surged by 15 per cent in 2024 and have already gained another 11 per cent in 2025. Emkay Wealth Management attributes this growth to multiple factors, including expectations of a decline in US interest rates, ongoing geopolitical tensions, and policy uncertainties surrounding the Trump administration. These elements have made silver and other precious metals an attractive investment option for the foreseeable future. The supply of silver has been in deficit for the past four years, with demand consistently outpacing production. In 2024, total silver demand was estimated at 1,219 million ounces, while supply was only 1,004 million ounces. This supply-demand gap is expected to persist, contributing to a favourable price outlook for the metal, the report said. Silver is currently testing the crucial $33 per ounce level, and technical indicators suggest further upside potential. According to Emkay Wealth Management, silver could move higher to price levels of $36.60, $38.70, and $39.30 in the coming months. The firm recommends investing in silver funds with a 12 to 18-month time horizon as a promising investment strategy. Another significant technical factor supporting silver’s bullish outlook is the gold-silver ratio. Currently, the ratio stands at around 90, indicating that silver is relatively undervalued compared to gold, the report added.