Central banks remain a key pillar of demand for gold. In Q3, central banks increased their buying pace following two consecutive quarters of slowing purchases. They bought an estimated 220 tonnes of gold in the quarter, 28% higher than the Q2 total and 6% above the five-year quarterly average. The National Bank of Kazakhstan was the largest buyer in the third quarter, while the Central Bank of Brazil added gold for the first time since 2021.
In October, central banks added a net 53 tonnes to reserves – a 36% increase from September and the strongest monthly gain since November 2024. Year-to-date net purchases now stand at 254 tonnes, marking a slower pace than the previous three years as higher prices temper demand.
Poland remains the standout buyer, leading both October and year-to-date with 83 tonnes. After a five-month pause, the National Bank of Poland resumed purchases, adding 16 tonnes last month and lifting its holdings to 531 tonnes, or 26% of total reserves.
China’s central bank, another top buyer, has reported gold purchases for 13 months in a row, adding 30,000 ounces (0.93 tonnes) in November, lifting the total holdings to about 74.1 million ounces (2,305 tonnes), despite record high prices. China is also attempting to widen its presence in the bullion market by extending gold storage facilities to foreign banks – an offer Cambodia has already accepted, signalling Beijing sees gold as more than a reserve asset, it’s also a tool of financial influence.