Egypt Daily News – The World Gold Council revealed continued strong demand from central banks for gold, with purchases totaling 244 tons in the first quarter of 2025. This figure is significantly lower than the same quarter of last year, which recorded 309.9 tons, a 21% decrease.
Despite the drop, demand remained strong in absolute terms, exceeding the five-year quarterly average by 24% and only 9% below the average of the past three years, which saw exceptionally high demand.
In its report titled “Gold Demand Trends,” the World Gold Council attributed the continued interest in gold by central banks to rising uncertainty during the first quarter of this year. This uncertainty drove gold prices to record highs, boosting central banks’ interest in gold and reinforcing its role as a store of value during challenging times. Turbulent events in the first quarter further highlighted these strengths, providing additional support for rising gold prices.
The Council noted that most buying and selling activity in the first quarter was concentrated among central banks in emerging markets, which have shown increased activity recently.
According to the Council, Poland’s central bank returned as the leading gold buyer at an accelerated pace, adding 49 tons during the first quarter. This represents 54% of its total gold purchases for the previous year (90 tons), raising its total gold holdings to 497 tons — 21% of its total reserves.
China’s central bank also added 13 tons of gold to its reserves in the first quarter, bringing its total declared gold holdings to 2,292 tons by the end of the quarter. Gold now represents 6.5% of China’s total reserves.
Kazakhstan’s central bank added 6 tons of gold during the quarter, raising its official reserves to 291 tons. In early April, Alya Moldabekova, Deputy Governor of the National Bank of Kazakhstan, told Bloomberg that the bank would delay gold sales until uncertainty eases and prices stabilize.
The Czech National Bank increased its gold reserves by 5 tons in the first quarter. The bank’s consistent accumulation of gold in recent years brought its total holdings to 56 tons by the end of Q1 — more than four times what it held at the end of 2021.
India’s Reserve Bank added 3 tons of gold in the first quarter. Its purchases were less consistent in recent months compared to 2024, when the bank had been buying gold almost every month except December. Its total gold holdings reached 880 tons by the end of March, accounting for 12% of total reserves.
According to the Council, central banks in the Middle East also maintained their interest in gold. Qatar and Egypt increased their gold reserves by 3 tons and 1 ton, respectively, during the first quarter.
The price of gold continued to climb in global markets, reaching an all-time high above $3,500 per ounce earlier this month. Even after recent declines, gold remains one of the best-performing major assets globally over the past five years.
Gold prices on the London Bullion Market Association also hit several new records in 2025. The average quarterly price in Q1 2025 was $2,860 per ounce — a 38% year-on-year increase.
