Central Banks Buys Gold at Record Pace

Central banks continue to add gold to their reserves, with total reported net purchases reaching 23 tons in July. China and Poland led the buying group, showing that demand from the formal sector is still a key pillar of the gold market.

According to Ms. Marissa Salim - Head of the Asia-Pacific region research group at the World Gold Council (WGC), emerging markets continued to accumulate gold in July. China bought 20 tons, while Poland bought 8 tons, leading the list of central banks buying gold in the month.

The Czech National Bank also maintained its accumulation trend with 2 tons of gold in July, marking the 41st consecutive month it has net bought gold. Kazakhstan, Malaysia, and Bolivia each bought an additional 1 ton.

Notably, gold currently accounts for 75% of Kazakhstan's total reserves, showing the country's increasing dependence on precious metals in its reserve asset structure.