Indonesia Gold Demand Surges Amid Economic Uncertainty
Indonesia's demand for gold bars and coins rose by 40% in Q2 of this year, driven by economic uncertainty and a weaker rupiah. The country's gold investment market was among the strongest globally, with a total of 15 tons purchased during the quarter.
The World Gold Council attributed the surge to investors viewing gold as a long-term strategic asset amid ongoing rupiah weakness and domestic economic uncertainty. Global gold demand remained unchanged at 1,269 tons in Q2, but investment demand moderated due to consolidating prices.
Central banks continued to buy gold, with net purchases of 289 tons in the quarter. The WGC expects central bank buying to continue, although at a lower pace than in 2025. Indonesia's government has also launched a roadmap for developing its domestic gold market.