Central banks globally continued to support official demand for gold during November, recording net purchases of 45 tons. This brings total purchases since the beginning of the year to approximately 297 tons, driven mainly by the continued appetite of emerging market banks to increase their holdings of the precious metal, according to World Gold Council data.
The data showed that the pace of buying has improved in recent months, while the ratio of gold to total reserves among the largest buyers varied significantly, reflecting differing monetary policies and reserve management strategies among nations.
The National Bank of Poland recorded a strong presence in the market, purchasing 12 tons of gold in November, continuing a buying streak that began in October. Poland's gold reserves rose to 543 tons, representing nearly 28% of total reserves based on end-of-November prices, confirming its position as the largest official buyer of gold year-to-date.
The Central Bank of Brazil also continued buying for the third consecutive month, adding 11 tons in November. This brings its total purchases over the last three months to 43 tons, and its total reserves to 172 tons, equivalent to about 6% of its total reserves.
The list of buyers during the month included several other central banks, including Uzbekistan, which added 10 tons, and Kazakhstan with about 8 tons. Additionally, Kyrgyzstan and the Czech Republic each added 2 tons, while China and Indonesia each added 1 ton.
In contrast, some central banks recorded limited net sales. The Central Bank of Jordan sold about 2 tons, while the Qatar Central Bank reduced its holdings by about 1 ton during November.
In a related context, the Bank of Tanzania announced during the same month that it had managed to accumulate 15 tons of refined monetary gold during the first year of its domestic gold purchase program, as part of its efforts to boost foreign exchange reserves and support financial stability.
regarding year-to-date performance, the National Bank of Poland continued to top the list of largest official gold buyers with a total of 95 tons, nearly double the purchases of Kazakhstan, which ranked second with about 49 tons. Although total reported purchases through November occurred at a slower pace compared to previous years, the momentum of central bank gold buying remains relatively strong.
This trend reflects central banks' continued reliance on gold as a strategic asset for hedging and reserve diversification, amidst escalating geopolitical risks, financial market volatility, and the uncertainty surrounding the global economy. This reinforces gold's pivotal role within the international monetary system during the current phase.
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