Central Banks Forecast to Buy Less Gold in 2026 Despite Strong Q2 Purchases

The World Gold Council has released a report forecasting lower central bank buying demand for gold in 2026. Despite strong buying power from central banks in the second quarter, the total net buying volume of central banks for the year is expected to be lower than in 2025.

In the second quarter, central banks purchased 289 tons of gold, more than five times higher than the 57 tons bought in the first quarter. The Bank of Poland was the largest gold buyer in the quarter, adding 51 tons to its reserves and raising its total gold reserves to 632 tons by June.

However, significant sales from Turkey, Russia, and Azerbaijan in the first quarter still reduced the overall results for the year. The net buying demand of central banks reached 345 tons in the first six months of the year, the lowest level since 2022.