More central banks than ever expect to increase their gold reserves, in a sign that one of the main forces behind the precious metal's rally remains intact, despite this year's price retreat. In a survey of 74 central banks, 45% said they plan to buy gold during 2027. This is the highest percentage recorded since the World Gold Council (WGC) and YouGov Plc began collecting such data in 2018. Only one bank stated it plans to reduce its holdings, according to a WGC report published today, Tuesday (June 16, 2026).
The price trend
Gold prices have more than doubled in the last three years, with the rally supported by a sharp acceleration in central bank purchases. Some of these gains were erased in 2026 after the conflict in the Middle East increased energy costs and fueled bets that interest rates would need to remain higher for longer—a fact that reduces gold's appeal, as it does not pay dividends or interest. Speculators are gradually leaving this market, with prices recently touching their lowest level since November. "I consider the price drop an opportunity for some central banks to start buying," said Shaokai Fan, global head of central banks for the WGC, a trade body representing gold miners. In 2025, "we did identify a number of central banks that were saying: 'Oh, the price is a little high right now, I want to wait and see if there is an opportunity for us to buy'," he added. The pace of gold buying by central banks accelerated during the first quarter, even though Turkey, Russia, and Azerbaijan began selling off quantities of the metal.
Emerging markets vs. developed economies
During 2027, central banks in emerging markets and developing economies make up the majority of prospective buyers, according to the WGC survey. Approximately 53% of these respondents said they expect to increase their reserves, compared to 18% of central banks in developed economies. A large part of these purchases is carried out through domestic accumulation programs, with which countries buy gold from their own miners using their local currency, instead of spending their scarce foreign currency reserves. 50% of the central banks planning to buy gold stated they would finance the purchases in this way, while 38% stated they would sell existing reserve assets.
The geography of storage
The Bank of England, which sits at the center of the world's largest gold hub in London, remains the most popular storage location for central banks, used by 57% of respondents. However, 9% stated they stored larger quantities within their country's borders over the past year (compared to 5% in last year's survey), while 10% moved toward diversifying their reserves across different locations (compared to 2% in last year's survey). Political risk is "certainly on the minds of central banks," noted Fan. This shift could create opportunities for alternative hubs, such as Singapore and Hong Kong, which are trying to attract central bank gold storage to boost their own precious metals markets.
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