In the first half of 2023, central banks added a historic amount of gold to their reserves, despite significant sales by Turkey.
The net gold purchases amounted to 387 tonnes, as per data from the World Gold Council, marking the highest half-year value since data collection began in 2000.
In the second quarter, Turkey, which was the most prominent gold purchaser in Q1, shifted to sales, decreasing its reserves by 160 tonnes.
This was a response to domestic market dynamics, especially after partial bans on gold bar imports led to a surge in local demand for gold products.
Nevertheless, Turkey resumed its gold acquisitions in June, adding 11.4 tonnes to its reserves.
Kazakhstan and Uzbekistan also reduced their gold reserves in the second quarter.
Russia, Cambodia, and Germany reported minor declines, potentially linked to coin minting.
In H1 2023, China’s central bank was the primary gold buyer, adding 103 tonnes to its official reserves, continuing an eight-month acquisition streak.
Since November 2022, China’s official gold reserves have risen to 2,113 tonnes, constituting 4% of their total reserves.
It’s worth noting that China’s true gold holdings might be underreported, as it’s speculated that China may store large quantities at its State Administration for Foreign Exchange (SAFE).
Singapore’s Monetary Authority was the second-largest gold acquirer in H1, with 73 tonnes.
Poland also boosted its reserves by 48 tonnes.
In 2021, Poland’s central bank announced plans to add 100 tonnes in 2022, suggesting recent acquisitions might be a step toward that goal.
Other nations adding to their gold reserves in H1 included India, the Czech Republic, the Philippines, Iraq, the European Central Bank, and Qatar.
The World Gold Council’s recent survey reveals that 24% of central banks plan to increase their gold reserves over the next year, with 71% anticipating a rise in global reserves in the same period.
This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error · Editorial responsibility: Matthias Camenzind, Editor-in-Chief