Central banks ramped up their gold purchases in the second quarter, snapping back from a slow start to the year. According to the World Gold Council, net acquisitions hit 288.9 tonnes in Q2 2026, a 62% jump year-on-year and the highest quarterly total since at least 2022. This contrasts sharply with the sluggish first quarter, where net buying stalled at 57 tonnes.
Poland led the charge with 51 tonnes added, pushing closer to its ambitious target of amassing 700 tonnes in reserves. The National Bank of Poland has shown steady commitment, having accumulated 82 tonnes in the first half of the year. Meanwhile, China also increased its gold holdings, with official reserves reaching 2,346 tonnes the largest addition since late 2023. Some analysts suspect China is quietly expanding its gold stash via unreported imports through London, as it shifts from reliance on the US dollar.
Other countries contributing to demand include Uzbekistan with 16 tonnes and Kazakhstan at 15 tonnes, while the Central Banks of Jordan and the Czech Republic each added 6 tonnes. On the flip side, Russia and Turkey remained net sellers, weighing down overall demand. This selling activity, along with Azerbaijan's divestments, dragged total central bank gold purchases for the first half down to 345 tonnes, the lowest since 2022.
The trend highlights central banks’ continuing use of gold as a hedge amid geopolitical uncertainty. While some nations trim reserves, many are accelerating accumulation to diversify from traditional currencies. This strategic repositioning follows patterns similar to moves seen in other financial markets, where institutions recalibrate holdings in response to global tensions and shifting economic policies.
This content is for informational purposes and does not constitute financial advice.
