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Julie Zhang

Central banks are expected to expand their gold holdings, while the US dollar’s dominance in global reserves will fade in five years, according to the World Gold Council.
The push to accumulate gold reflects a broad de-dollarisation trend in recent years.
About nine in 10 central banks expect global central bank gold holdings to continue increasing over the next 12 months, according to the council’s annual Central Banks Gold Reserves Survey, published on June 16.
A record 45 per cent of central banks said they plan to increase their own institutions’ gold holdings over the next 12 months, up from 43 per cent last year.
Gold has recently overtaken US government bonds as the top reserve asset, the survey revealed, which polled 76 central banks between February 5 and May 19, with most responses received after the start of the Middle East conflict.
Sentiment towards the US dollar stands in sharp contrast. Some 74 per cent of respondents expect the dollar’s share of global reserves to be lower within five years.
US dollars accounted for 42 per cent of total reported reserves, including foreign exchange and gold, in the third quarter of 2025, IMF data showed.
A record 90 per cent of respondents cited gold’s performance during times of crisis as a key reason for holding it, while 84 per cent pointed to its role as a long-term store of value and 82 per cent highlighted portfolio diversification.
Gold’s role as a geopolitical risk hedge was especially prominent among emerging market and developing economy central banks, cited by 85 per cent of that group.
Half of respondents planning new gold purchases said they would fund them through a domestic purchase programme in local currency, while 38 per cent indicated they would do so by selling existing reserve assets.


Central banks have accumulated an average of 1,000 tonnes of gold per year over the past four years, up significantly from the 500-tonne average over the preceding decade, as geopolitical and economic uncertainty has reshaped reserve management strategies.
About 83 per cent of respondents believe gold will account for a higher share of total reserves five years from now, up from 76 per cent last year.
The survey also said there was a new trend in where central banks choose to store their gold. Some 9 per cent said they had increased domestic storage over the past 12 months, while 10 per cent said they had diversified their overseas storage locations.
The Bank of England remains the most popular vaulting location, cited by 57 per cent of respondents. The Swiss National Bank saw a notable decline in preference, dropping to 6 per cent from 12 per cent in 2025.
“Fewer [central banks] see it as a legacy holding; more see it as an active, strategic allocation in an environment defined by geopolitical uncertainty and reserve diversification,” said Shaokai Fan, global head of central banks and head of Asia-Pacific (ex-China) at the World Gold Council.
That view was echoed by Jean‑Louis Nakamura, head of conviction equities at Swiss wealth manager Vontobel. “Central banks continue to buy [gold], especially in emerging markets,” he said in an interview with the South China Morning Post.
Nevertheless, there is still substantial scope for emerging markets to increase their overall share of gold reserves, Nakamura added.
China’s gold reserves stood at 74.96 million troy ounces (2.3 million kg) at the end of May, up 320,000 troy ounces from the previous month, according to the People’s Bank of China, marking the 19th consecutive month that it had increased.
John Thang, head of markets for Hong Kong, Greater China and North Asia at Standard Chartered Hong Kong, said the lender planned to build its first gold storage facility in the city amid surging demand from central banks and wealthy clients.
The bank was “considering setting up its own gold vault in Hong Kong to serve the future needs of a broad range of clients, although it is unlikely to take place this year,” Thang said in a recent interview, adding Standard Chartered Hong Kong expected gold prices to increase to US$5,150 per ounce by the end of the year.


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World Gold Council states about nine in 10 central banks will increase holdings as de-dollarisation trend continues amid global instability


World Gold Council states about nine in 10 central banks will increase holdings as de-dollarisation trend continues amid global instability.


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World Gold Council

Going for gold: central banks expand bullion holdings as US dollar’s dominance wavers

.css-1c6uqr6{color:inherit;font-weight:inherit;font-size:inherit;font-family:inherit;line-height:inherit;overflow-wrap:break-word;}World Gold Council states about nine in 10 central banks will increase holdings as de-dollarisation trend continues amid global instability

World Gold Council states about nine in 10 central banks will increase holdings as de-dollarisation trend continues amid global instability