China Gold Network Bolsters Yuan's Global Role
China is building a global gold network and bolstering its yuan's international role by expanding central bank gold purchases, according to a report by S&P Global Ratings. The People's Bank of China has steadily bought official gold reserves to diversify assets and reduce reliance on the US dollar.
The gold purchase strategy is multi-pronged, with Chinese companies increasing overseas mining interests and retail and institutional demand for gold bars, coins, and exchange-traded funds remaining strong. Official data shows that as of July 2026, China's gold reserves stood at 76.08 million ounces (about 2,366 tons), up 640,000 ounces from June.
Despite the growth, China's gold holdings remain relatively modest, accounting for roughly 8.8 percent of its official international reserves, compared to a global average of 27 percent among central banks as of December 2025.