Global central bank gold buying rebounded in February after a slow start to the year, underscoring that official institutions remain committed to gold as a strategic reserve asset even as higher prices appear to be tempering the pace of accumulation. According to the latest World Gold Council data, central banks added a net 19 tonnes of gold to reserves in February, up from just 5 tonnes in January. The increase marks a clear recovery from the previous month’s lull, although buying remains below last year’s average monthly pace of 26 tonnes. Through the first two months of the year, central banks have added 25 tonnes in total, roughly half the pace seen during the same period a year earlier.
The February figures suggest that central banks are still buying, but with greater caution. As the World Gold Council noted, policymakers may be “prudently price sensitive in their accumulation,” a sign that the surge in gold prices is encouraging a more measured approach rather than ending demand altogether.
The National Bank of Poland was by far the biggest buyer in February, adding 20 tonnes of gold. That pushed the country’s total holdings to 570 tonnes, representing 31 percent of its total reserves. Poland has also been the leading central bank buyer so far this year, accumulating 102 tonnes of gold. Its long-term strategy remains aggressive: late last year, the central bank said it plans to buy up to 150 additional tonnes, bringing total holdings to as much as 700 tonnes.
National Bank of Poland Governor Adam Glapiński has framed the buildup in strategic terms, saying it would place Poland among the “elite” nations with the world’s largest gold reserves. “This will place Poland among the elite 10 countries with the largest gold reserves in the world,” he said.
The scale of Poland’s shift is striking. In 1996, the country held only 14 tonnes of gold. Today, it holds more than the European Central Bank. At the same time, analysts are closely watching Warsaw after Glapiński floated a controversial proposal to monetize part of the country’s gold stockpile. He recently suggested generating about $13 billion through gold sales to help finance defense spending, with the intention to “generate profits and to then buy it back.” So far, however, the central bank has not provided additional details on how such a plan would work.
Beyond Poland, several central banks continued to add steadily to their gold reserves in February. Uzbekistan purchased another 8 tonnes, bringing its year-to-date total to 16 tonnes and lifting its official reserves to 407 tonnes. Gold now accounts for 88 percent of the country’s total reserve assets, making Uzbekistan one of the most gold-heavy reserve holders in the world.
Malaysia’s central bank extended its renewed interest in gold, adding 2 tonnes in February after making its first purchase since 2018 in January. The Czech Republic also added 2 tonnes, continuing its most consistent reserve-building campaign among central banks. The Czech National Bank has now bought gold for 36 consecutive months. It added 20 tonnes last year and currently holds roughly 75–76 tonnes, with officials targeting 100 tonnes by 2028.
China reported another 1-tonne increase in February, marking its 16th consecutive month of official purchases. The People’s Bank of China now reports 2,308 tonnes of gold, equal to about 10 percent of its official reserves. That official figure, however, remains the subject of considerable skepticism. Researchers, including Jan Nieuwenhuijs, have argued that China may be acquiring substantial quantities of gold off the books. According to his analysis, Beijing could hold more than 5,000 tonnes of monetary gold, more than double the amount officially disclosed. While those estimates remain outside official reporting, they have increasingly attracted mainstream attention. Cambodia was also a modest buyer, adding 1 tonne in February.
Not all central banks were buyers. Turkey and Russia were the main sellers in February, partially offsetting broader global demand. Turkey reduced its gold holdings by 8 tonnes during the month, making it the largest seller. Selling intensified in March, when the Turkish central bank reportedly cut its holdings by nearly 60 tonnes. Much of that activity appears tied to efforts to support the lira and provide liquidity, including through gold-currency swap arrangements.
Central Bank of Turkey Governor Fatih Karahan emphasized that many of these transactions are temporary. “A significant part of these transactions is like gold-currency swap futures. In other words, when it matures, the gold in question will return to our reserves,” he said. Russia also reported a 6-tonne decline in February, bringing its year-to-date reduction to more than 15 tonnes. Moscow appears to be drawing on its gold reserves to help support its economy as sanctions pressure continues amid the prolonged war in Ukraine.
Higher prices slow, but do not stop, official demand. Looking at the wider picture, central bank gold buying moderated last year but remained historically strong. Official net purchases totaled 863.3 tonnes for the year, down 21 percent from the previous year and the lowest annual total since 2021.
Even so, that level was still far above the 2010–2021 annual average of 473 tonnes. In fact, it was the fourth-largest annual increase in central bank gold reserves on record. The all-time high came in 2022, when central banks bought 1,136 tonnes, the strongest annual total since records began in 1950, including the post-1971 era after the suspension of dollar convertibility into gold. The World Gold Council said the rise in prices likely contributed to the slowdown, prompting “a more cautious approach.” Still, the organization stressed that central banks’ long-term strategic interest in gold remains intact.“This highlights that central banks are not insensitive to price dynamics, even as their long-term strategic interest in gold remains firmly intact,” the WGC said—new demand emerging from Africa. One of the more important developments in the gold market is the emergence of new official buyers, particularly in Africa.
Uganda, which announced a domestic gold-buying program two years ago, began active purchases in March. Officials say the central bank plans to buy at least 100 kilograms of gold between March and June from artisanal, medium-scale, and large-scale domestic producers. The goal is to strengthen reserves and reduce vulnerability to instability in international financial markets.
Kenya is considering a similar strategy. Central bank Governor Kamau Thugge signaled in early February that Nairobi may also launch a domestic gold purchasing program. According to the World Gold Council, these initiatives reflect a broader shift among African central banks toward gold as a diversification tool and a hedge against economic and financial risk.
There is still considerable uncertainty surrounding central bank gold demand as countries navigate inflation pressures, geopolitical instability, supply chain disruptions and energy market volatility. Some analysts expect reserve accumulation to slow further as policymakers focus on economic defense and liquidity management. Still, February’s data suggest that central banks remain committed to gold. Persistent buying from established players such as Poland, Uzbekistan, China, and the Czech Republic, combined with renewed interest from countries in Southeast Asia and Africa, points to continued structural demand.