Indonesia's Gold Market Boom: Reserves, Refining, and Bullion Banking

Indonesia's gold reserves and market are experiencing significant growth and development. According to recent estimates, the country has approximately 3,444 tonnes of contained primary gold reserves, with a more recent USGS estimate placing it at around 3,600 tonnes.

The government has been working to formalize the bullion-banking industry in Indonesia, which was launched in February 2025. Since then, companies such as BSI and Pegadaian have received regulatory permission to operate bullion-related services, creating infrastructure for activities like trading, custody, and other gold-based financial products.

The growth of the domestic gold value chain is not limited to refining capacity. Companies like PT Freeport Indonesia's Precious Metal Refinery in Gresik have increased their processing capabilities, with a capacity to refine around 50 tonnes of gold and 200 tonnes of silver annually.