Central banks ramp up Q3 gold buying despite record prices
Central banks purchased around 220 metric tons of gold between July and September, up 28% from the previous quarter, according to the World Gold Council.
The increase in third-quarter purchases reversed slower buying patterns from earlier in 2025 and continued even as spot prices reached record levels in October. On October 20, gold prices hit an all-time high near $4,381 per troy ounce.
Kazakhstan bought the most gold among individual countries during the quarter. Brazil also returned to the gold market after staying away for more than four years. Beyond Kazakhstan and Brazil, third-quarter activity was unusually broad-based.
Poland’s central bank said it would raise its strategic gold share target from 20% to 30%. Bulgaria added about 2 tons as it prepares to enter the euro area in January 2026, while China reported an eleventh straight monthly increase in September 2025. From January through September, central banks added roughly 634 tons of gold to their reserves.
Kazakhstan bought the most gold among individual countries during the quarter. Brazil also returned to the gold market after staying away for more than four years. Beyond Kazakhstan and Brazil, third-quarter activity was unusually broad-based.
Poland’s central bank said it would raise its strategic gold share target from 20% to 30%. Bulgaria added about 2 tons as it prepares to enter the euro area in January 2026, while China reported an eleventh straight monthly increase in September 2025. From January through September, central banks added roughly 634 tons of gold to their reserves.
Reserve managers cite currency risk and inflation concerns as reasons for holding gold. The World Gold Council noted that central banks used gold as protection against potential U.S. dollar weakness.
In 2024, central banks bought more than 1,000 tons of gold for the third year in a row. That year also saw record overall gold demand. The pattern of sustained official buying carried over into 2025 despite higher prices and changing expectations around global interest rates.
In a recent exchange on social media platform X, economist Peter Schiff and Binance founder Changpeng Zhao debated the value basis of gold versus Bitcoin. Schiff argued Bitcoin depends on belief in its worth, while Zhao said the same applies to gold and other forms of money.
In 2024, central banks bought more than 1,000 tons of gold for the third year in a row. That year also saw record overall gold demand. The pattern of sustained official buying carried over into 2025 despite higher prices and changing expectations around global interest rates.
In a recent exchange on social media platform X, economist Peter Schiff and Binance founder Changpeng Zhao debated the value basis of gold versus Bitcoin. Schiff argued Bitcoin depends on belief in its worth, while Zhao said the same applies to gold and other forms of money.
Recommended