Gold Demand Trends: Q2 2025

Central bank gold demand remained healthy at 166t in Q2, but at 33% lower q/q it was the second consecutive quarter during which demand has slowed. While this represents the lowest level of quarterly demand since Q2’22, it remains 41% above the average quarterly level that was typical between 2010 and 2021, before buying ramped up sharply in more recent years. Total H1 buying of 415t was 21% less than H1’24 (525t) and the lowest H1 total since 2022. The destabilising economic and geopolitical environment kept the gold price elevated during the quarter. As we have noted previously, central banks – although typically strategic buyers of gold – are not completely insensitive to its price level. As such, gold’s rally so far this year, up 26%, to new record levels, has likely contributed to the slowdown in central bank buying.² But that they continue to add gold in the face of a higher price underscores their continuing favourable attitudes towards gold as a strategic asset amid such uncertainty.

This slowdown is apparent in the level of reported purchases during the quarter:³

• Once again, the National Bank of Poland was the largest buyer of gold, adding 19t to its gold reserves in Q2, albeit markedly lower than its buying in Q1 (49t). Polish official gold holdings now total 515t, or 22% of total reserves.
• The State Oil Fund of Azerbaijan increased its gold holdings to 181t during the quarter, 16t higher than at the end of Q1. Gold now accounts for almost 29% of its investment portfolio.
• The Central Bank of Turkey reported a 11t increase in official gold reserves (central bank plus Treasury) in Q2, almost double the increase in Q1. Y-t-d purchases of 17t has lifted total official gold reserves to 635t.
• The National Bank of Kazakhstan also upped its buying in Q2, adding 16t to its gold holdings compared to 6t in Q1. Gold reserves now total 306t.
• The People’s Bank of China continued to add modest amounts of gold to its reserves in Q2. It reported purchases of 6t, almost half of its Q1 purchases, lifting its y-t-d buying to 19t. Its gold reserves now stand at 2,299t
• The Czech National Bank purchased a net 6t in Q2, slightly above its Q1 purchases (5t). The bank’s gold reserves now total 62t
• The National Bank of the Kyrgyz Republic added 4t to its official gold reserves during in Q2, offsetting the 4t sold in Q1 and keeping holdings at 38t
• The Qatar Central Bank (2t), National Bank of Cambodia (2t), Bank of Ghana (2t), the Central Bank of the Philippines (1t), National Bank of Serbia (1t) and Central Bank of Jordan (1t) were also buyers in Q2
• Sellers during the quarter were the Monetary Authority of Singapore (5t), the Central Bank of Uzbekistan (3t), and the Bundesbank (1t) – the latter likely related to its longstanding coin minting programme.

Unreported buying remained elevated during the quarter, but with some deceleration. Combing the estimates from Metals Focus and available reported data, unreported central bank demand is estimated at around 90t in Q2 (54% of the total quarterly figure).

Looking ahead, we maintain our view that central banks will continue to add gold to their reserves. Our Central Bank Gold Reserves Survey 2025 shows that respondents overwhelmingly (95%) expect  global central bank gold reserves to increase over the next 12 months, while 43% believe that their own gold reserves will also increase over the same period. Notably, none of the respondents anticipate a decline in their gold reserves.

Gold’s unique characteristics and role as a strategic asset continue to be highly valued by central banks. Its performance in times of crisis, ability to act as a store of value, and its role as an effective diversifier, continue to be cited as key reasons for an allocation to gold. All the more vital as ongoing uncertainty looks like a certainty. See our Outlook section for more information.

Footnote:

¹Central bank demand presented here comprises aggregate reported changes as well as an estimate for unreported buying. This differs from our monthly central bank statistics, which consist solely of publicly reported changes.

²Based on the LBMA Gold Price PM on 30 June 2025.

³Country-level data is based on reported figures available at the time of writing. Revisions may occur as more data is released.