Net Gold Purchases by Central Banks Soared 12%

SEATTLE (Scrap Monster): In accordance with the latest Gold Demand Trends Q3 2019 Report published by the World Gold Council (WGC), the net gold purchases by central banks and other institutions around the world continued to remain robust. The net purchases stood 12% higher in the year-to-date period in 2019, as compared with 2018.

According to the gold trade body, the central bank buying totalled 156.2 tonnes during Q3 this year. This compares with the purchases which had peaked at 253.1 tonnes in the corresponding quarter last year, translating into a year-on-year decline by 38%. The purchases, which totalled 547.5 tonnes in Jan-Sep ’19, ended 12% higher than the same period in 2018.

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The Turkish gold reserves increased the most. The country added 71.4 tonnes to its holdings during the quarter to raise its total holdings to 385.5 tonnes. Russia added 34.9 tonnes of gold to its reserves, although at a slower rate when compared with the prior quarters of the year. The Chinese gold reserves rose by 21.8 tonnes in Q3 ’19. The other countries which reported gold reserve addition were the UAE (4.9t), Qatar (3.1t), Kazakhstan (2.1t), Kenya (1.9t) and the Kyrgyz Republic (1.2t).

On the other hand, central bank of Uzbekistan lowered its gold holding by 18t. Guinea and Mongolia too reported net gold sales by 2.2t and 1.1t respectively. The reported net gold sales by world central banks amounted to 28.7t in third quarter 2019.