World Gold Council: 24% of Central Banks Plan to Buy Gold in Next 12 Months

Over the last several years, central banks globally have added gold to their reserves at a historically high rate. The banks have long held gold as part of their reserves to manage risk from currency holdings and to promote stability during economic turmoil.

According to the World Gold Council (WGC) 2023 Central Bank Gold Reserve survey, central banks' adherence to buying gold and strengthening their reserves during the year 2023.

According to the WGC, 24% of central banks plan across the world plan to buy more gold in the next 12 months.

The survey, which included 59 global central banks, indicated that after the historical level of purchase of gold this year during the first quarter, gold is still viewed positively by central banks as a reserve.

The main reasons behind central banks’ insistence on increasing their gold reserves lie in the rise in global inflation and geopolitical turmoil, especially related to the ongoing Russian-Ukrainian war crisis, according to the gold Bullion analysis.

The continuous interest rate hikes so far by global central banks have also contributed to preserving gold as an important reserve and store of value during the current unstable period in the global economy.