In the third quarter of 2025, central banks around the world ramped up their gold buying, pushing net purchases to 220 tonnes, a 10% year-on-year increase and a striking 28% jump from the prior quarter. The latest Gold Demand Trends report from the World Gold Council (WGC) confirms that even amid soaring gold prices, central banks remain deeply committed to gold as a strategic reserve asset.
This Q3 surge comes after two consecutive quarters of slowing purchases, underscoring the resilience of gold’s allure in volatile economic times. The increased buying marks the highest quarterly total so far this year and stands 6% above the five-year third-quarter average, sending a strong signal about global monetary authorities’ risk management strategies in an uncertain macroeconomic environment.
Despite the unprecedented rise in gold prices with the LBMA’s benchmark price hitting 13 all-time highs during the quarter and averaging $3,456.54 per ounce in Q3, up 40% year-over-year, gold demand remained robust. This resilience amidst sky-high valuations highlights the strategic nature of central bank gold acquisitions. “We view the uptick in Q3 central bank gold demand as clear evidence of gold’s enduring role in reserve management,” said the WGC. “Despite record prices, central banks continue to pursue gold as a strategic asset.”
Total global demand for gold in Q3 2025, including over-the-counter (OTC) transactions, rose 3% from the previous year to 1,313 tonnes, a record quarterly high. Driven largely by ETF inflows (up 134% y/y to 221.7 tonnes) and traditional bar and coin investments (316 tonnes), overall investment demand surged, reinforcing gold’s dual appeal as both a hedge and a tactical investment during market dislocations.
A diverse set of central banks contributed to Q3’s gold-buying surge, driven by diversification goals, inflation concerns, and geopolitical uncertainties. The National Bank of Kazakhstan emerged as Q3’s top buyer, adding 18 tonnes to its reserves, bringing its total to 324 tonnes. Kazakhstan has now increased holdings for seven consecutive months.
In addition to Brazil’s significant 15-tonne acquisition, which marks the country’s return to gold purchases for the first time since 2021 and brings its total reserves to 145 tonnes, several other countries have also been active in the gold market. The Czech Republic continued its impressive streak, adding another 2 tonnes and extending its run to 31 consecutive months of increases. Similarly, the Central Bank of Turkey maintained its momentum with a purchase of 2 tonnes, marking the 28th consecutive month of acquisition.
The Bank of Guatemala made a noteworthy move as well, increasing its gold holdings by 6 tonnes, a remarkable 91% jump. Meanwhile, China has been on a sustained buying spree, recording its 11th straight month of net purchases and officially holding over 2,300 tonnes. Analysts believe China’s actual gold reserves may exceed 5,000 tonnes, amid suspicions of significant off-the-books purchases.
Additionally, countries like Ghana, Russia, and Poland have contributed to the third-quarter totals, further boosting their gold holdings. In contrast, Uzbekistan was a notable exception, having reduced its reserves by 4 tonnes during the same period. This decrease is particularly indicative of the typical fluctuations between buying and selling that occur for nations that source gold from domestic production. India’s steady stride also continued, with the Reserve Bank of India acquiring nearly 600 kg of gold between April and September. Total gold reserves reached 880 tonnes as of late September.
According to the WGC’s 2025 Central Bank Gold Reserves Survey, 95% of respondents expect global central bank reserves to increase over the next 12 months. About 43% of banks anticipate adding to their own reserves, while zero expect a decline.
One of the key motivational themes behind continued buying is a strategic move toward de-dollarization. With rising policy uncertainty and a downgraded U.S. economic outlook from the IMF, several nations view increasing gold reserves as a hedge against potential currency instability and a way to diversify away from U.S. assets.
“We don’t see an end to this narrative unless there is a material shift in geopolitical tensions,” the WGC notes.
Gold supply rose 3% year-on-year in Q3 to 1,313 tonnes, also a quarterly record. Mine production grew seasonally by 2% to 977 tonnes, while recycled gold supply remained elevated, totaling 344 tonnes, a 6% increase from a year earlier. Despite the rising price environment, recycling activity was somewhat restrained amid economic optimism and expectations of further price gains.
Even as central bank buying in 2025 (634 tonnes YTD) remains below 2024’s tally of 724 tonnes through the same period, it remains well above the pre-2022 average of 400–500 tonnes annually. The WGC maintains a bullish long-term outlook, noting that 2024 marked the third-largest year of central bank gold accumulation on record, with net purchases totaling 1,044.6 tonnes continuing a remarkable 15-year upward trend.
The consistency of central bank purchases, even during periods of high prices, reiterates gold’s indispensable role in international monetary systems. With 66% of Q3 central bank demand remaining unreported, according to the WGC, actual totals may be significantly higher than disclosed, further underscoring the quiet but persistent movement by global institutions toward gold.
In an increasingly fragmented and multi-polar economic landscape, gold continues to shine as both a barometer of confidence and a bulwark of central bank strategy. For the foreseeable future, that shine is not likely to dim.