Advertising

Gold purchases by central banks up 206 per cent

News Arnulf Hinkel, Fiancial Journalist – 09.09.2024

While demand for gold among institutional and private investors has cooled slightly due to the gold price moving from one all-time high to the next in recent months, central banks around the world are continuing to build up their gold reserves. This is remarkable, as 2022 (1,082 tonnes) and 2023 (1,037 tonnes) saw the largest annual gold purchases by central banks to date.

Strongest surge in demand in July since January 2024

According to recently published data provided by the World Gold Council, central bank gold purchases rose by more than 200 per cent in July compared to the previous month. Given the persistently very high gold price in recent months, this is especially significant in terms of the importance of gold as a foreign currency reserve asset. After all, its task is to offset fluctuations in the global currency, the US dollar, and to ensure a country’s foreign trade liquidity. It is therefore hardly surprising that Poland led the demand for gold in July at 14 tonnes. In all of 2024, the Turkish central bank led gold purchases with almost 50 tonnes, followed by India, Poland and China.

Gold price up 20 per cent year-to-date

After the gold price increased 6 per cent year-on-year in 2022 and by some 10 per cent in 2023, it has risen from €60.59 on 2 January to €72.65 in early September 2024, a rise of 20 per cent. Over the last five years from early September 2019 to today, the price of gold has risen 60 per cent, certainly attributable to the various geopolitical and medical crises of recent years, but also to the at times high inflation rates. In any case, central banks have significantly contributed to the high global demand for gold in the 2020s by massively expanding their gold reserves.
 

Upcoming Events

Events

02.11.2024 - 02.11.2024 Börsentag Hamburg

Youtube channel

Production of Umicore precious metal bars

Production of Umicore precious metal bars

Opening Bell Event zum 10-jährigen Bestehen von Xetra-Gold (German)

Opening Bell Event zum 10-jährigen Bestehen von Xetra-Gold (German)

Gold als eigene Anlageklasse: Interview mit Steffen Orben (German)

Gold als eigene Anlageklasse: Interview mit Steffen Orben (German)

Newsletter

Are you interested in receiving regular information on Xetra-Gold? Then subscribe to our monthly, free-of-charge newsletter to learn more about our gold holdings, upcoming events and to read our gold market outlook.

Xetra-Gold Newsletter

We are sorry that you consider to unregister from our newsletter. Are you missing out information? If yes, we are pleased to receive your feedback. Of course, you can always re-register at any later point of time.

Xetra-Gold Newsletter

Xetra-Gold Hotline

Xetra-Gold-Hotline

Do you have questions? We have the answers. Contact us here: 9 a.m.–6 p.m. CET

+49-(0) 69-2 11-1 16 70

xetra-gold(at)deutsche-boerse.com

For press inquiries:  media-relations(at)deutsche-boerse.com

To contact form