In November 2024, global central banks collectively added 53 tonnes of gold to their reserves, with the Reserve Bank of India (RBI) contributing 8 tonnes, according to a recent report by the World Gold Council (WGC).
Central Banks Propel Gold Demand
Emerging market central banks have remained significant players in the global gold market throughout 2024, driven by a desire for secure and stable assets amid mounting global economic challenges. The WGC’s latest report, titled “Central Bank Gold Statistics November 2024,” highlights the continued demand for gold, noting that November marked another strong month for central bank gold purchases.
As the price of gold dipped following the US elections, the WGC suggests that some central banks may have been motivated to increase their gold holdings, capitalizing on the market downturn.
India’s Continued Gold Accumulation
The Reserve Bank of India (RBI) maintained its aggressive gold-buying strategy, adding 8 tonnes to its reserves in November 2024. This raised its total gold purchases for the year to 73 tonnes, bringing its total holdings to 876 tonnes. The RBI remains the second-largest buyer of gold in 2024, trailing only Poland.
Poland Leads Global Gold Purchases
The National Bank of Poland (NBP) emerged as the top buyer of gold in November, increasing its reserves by 21 tonnes. This brought its total gold holdings for the year to 90 tonnes, with the bank now holding 448 tonnes of gold.
Uzbekistan and Kazakhstan Increase Holdings
Uzbekistan’s central bank saw a significant rise in its gold reserves, adding 9 tonnes in November, marking the first increase since July. The Central Bank of Uzbekistan’s year-to-date gold purchases now total 11 tonnes, bringing its total gold holdings to 382 tonnes.
Similarly, Kazakhstan’s central bank also boosted its gold reserves by 5 tonnes in November, continuing its buying streak for a second consecutive month. As a result, Kazakhstan flipped to a net purchaser with total holdings now at 295 tonnes.
China Resumes Gold Purchases After Six-Month Break
After a six-month hiatus, the People’s Bank of China (PBoC) resumed gold purchases in November, acquiring 5 tonnes of gold. This brought China’s total year-to-date purchases to 34 tonnes, increasing its overall gold reserves to 2,264 tonnes, which now accounts for 5% of the country’s total reserves.
Other Significant Buyers: Jordan, Turkey, Czech Republic, and Ghana
The Central Bank of Jordan added over 4 tonnes of gold to its reserves in November, marking the first increase since July. The country’s total year-to-date net purchases now total nearly 2 tonnes, bringing its gold holdings to 73 tonnes.
Turkey’s central bank also increased its gold reserves by 3 tonnes in November, entering into reverse swap agreements with domestic commercial banks to manage liquidity.
In Europe, the Czech National Bank marked its 21st consecutive month of gold buying, adding nearly 2 tonnes to its holdings in November. Its year-to-date gold purchases now total almost 20 tonnes, lifting its total holdings to just over 50 tonnes.
Ghana’s central bank continued its gold-buying efforts, adding 1 tonne to its reserves in November, bringing its year-to-date net purchases to 10 tonnes and total holdings to 29 tonnes. Additionally, the Bank of Ghana launched the Ghana Gold Coin as part of its strategy to stabilize the country’s economy and encourage investment in its gold reserves.
Singapore Emerges as Largest Seller
While most central banks were adding to their gold reserves, the Monetary Authority of Singapore became the largest seller in November, reducing its gold holdings by 5 tonnes. The country’s year-to-date net sales now total 7 tonnes, leaving Singapore with 223 tonnes of gold.
As central banks continue to navigate global economic uncertainty, gold remains a pivotal asset in their strategies, reflecting a broader trend of gold accumulation across emerging markets.
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