Central banks reported net gold purchases of 39 tonnes in August, World Gold Council data show, taking reported buying this year to 170 tonnes. China led with 20 tonnes, while Russia was the biggest seller.
At a glance
- China's central bank bought 20 tonnes, its 22nd straight month of buying, lifting its reserves to 2,387 tonnes.
- Poland added 8 tonnes and now holds 648 tonnes, close to its 700-tonne target.
- Russia sold 6 tonnes in August and has sold 56 tonnes so far this year.
Background
Central banks hold gold as part of their reserves, alongside foreign currencies and bonds. The World Gold Council (WGC), the gold industry's market development body, compiles monthly figures on what central banks report buying and selling. Purchases by central banks have become one of the main sources of gold demand in recent years.
What happened
Central banks reported net gold buying of 39 tonnes in August, according to World Gold Council data published on Tuesday. That brings total reported purchases this year to 170 tonnes.
China's central bank led again, adding 20 tonnes in its 22nd consecutive month of buying. It has bought 80 tonnes this year and now holds 2,387 tonnes.
Who bought and who sold
Poland added 8 tonnes, taking its holdings to 648 tonnes as it nears a 700-tonne target. Uzbekistan also bought 8 tonnes, and gold now makes up 90% of its reserves. Kazakhstan added 7 tonnes, and gold is now 79% of its reserves. The Czech National Bank bought 2 tonnes, extending its streak to 42 months, while Bolivia and Ghana each added about a tonne.
Turkey bought 3 tonnes but remains a net seller of 82 tonnes this year. Russia sold 6 tonnes, bringing its sales this year to 56 tonnes and its holdings to 2,271 tonnes, now below China's. Jordan sold 3 tonnes but remains a small net buyer this year.
What it means
Steady purchases by China, Poland and the Central Asian banks show that official buyers are still adding gold month after month. Bundesbank President Joachim Nagel said on Monday the case for central banks to keep diversifying into gold remains significant.
Seasonal patterns may help. WGC data for 2016 to 2025 show central bank buying has typically been strongest in June and in September and October. The pace is not guaranteed, though, as consultancy Metals Focus expects central bank demand to slow by about 15% this year.
Our read
Outlook: bullish. Steady official buying of 39 tonnes a month supports gold demand over time. Near-term prices remain driven more by US bond yields and Fed expectations.
What to watch
- September central bank data, which falls in a seasonally strong period for buying.
- Whether Poland reaches its 700-tonne gold target.
- Further sales by Russia and Turkey.
For information only, not investment advice.
Gold price in India
metalscost.com India reference price as of 2026-10-24.
Detailed analysis
Timeline
- 2026-10-06: The World Gold Council publishes August central bank gold data.
Central Banks
Central banks reported net buying of 39 tonnes in August and 170 tonnes so far this year.
Geopolitical Risks
Russia sold 6 tonnes while China, Poland and Central Asian banks kept buying.
What could lift prices
- China, Poland and Central Asian central banks keep adding gold every month.
- Buying has historically been strongest in September and October.
What could weigh on prices
- Metals Focus expects central bank demand to slow by about 15% this year.
- Russia and Turkey are net sellers this year, offsetting some purchases.
Country impact
| Country | Impact | Reason |
|---|---|---|
| China | High | It bought 20 tonnes and now holds 2,387 tonnes after 22 straight months of buying. |
| Poland | Medium | It holds 648 tonnes and is nearing its 700-tonne target. |
| Russia | Medium | It sold 6 tonnes in August and 56 tonnes this year. |
Industry impact
| Industry | Effect | Reason |
|---|---|---|
| Bullion Trading | Positive | Steady official buying supports demand for physical gold. |
Who gains, who loses
- Long-term gold holders: Central bank buying provides a steady base of demand.
- Russia's central bank: Its gold holdings have fallen by 56 tonnes this year to 2,271 tonnes, now below China's.
Other ways this could play out
- If seasonal buying picks up in September and October, monthly totals could rise above August's 39 tonnes.
- If high yields persist, central bank buying could slow as Metals Focus expects.
Price risks
- A sharp drop in official buying would remove an important source of demand.
- Larger sales by Russia or Turkey would offset purchases elsewhere.
Technical view
Price is trading below both its 20-period and 50-period moving averages, a bearish alignment.
Computed from metalscost.com's own stored price history.
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