Poland, China lead renewed central bank gold buying

Central banks resumed net gold buying in April, bolstering their view of the yellow metal as a strategic reserve asset, the World Gold Council (WGC) said in a report this week.

After being net sellers in March, banks added a net 17 tonnes of gold to reserves in April, the latest month for which WGC has complete data. The trend was led mainly by Poland, while Russia sold 6 tonnes that month and Uzbekistan sold 1 tonne. That followed 60 tonnes sold by Turkey in March and 6 tonnes by Russia.

The move back to net gold buying in April suggests March’s sales might have been temporary rather than the start of a broader shift away from gold. The continued buying seen earlier this year helped support gold prices, which remain near record highs despite a modest pullback in recent weeks. Bullion traded for $4,390 per oz. on Friday.

Poland, China lead

The top buyers in April were Poland and China, who bought 14 and 8 tonnes of gold, respectively. China’s purchase, its largest since December 2024, extends the country’s purchase run to 18 consecutive months. The Czech Republic bought 3 tonnes in April, its 38^th consecutive monthly purchase.

After Turkey’s huge sell-off in March, the country’s government reported nearly flat gold reserves in April. Weekly data showed Turkey’s short-term gold/USD swaps matured that month, leaving only longer-term gold/USD swaps outstanding, the WGC said.

Meanwhile, emerging-market central banks, particularly in Eastern Europe and Asia, continue to drive demand. They averaged 29 tonnes of net purchases per month over the past three years, according to the WGC.