China records largest gold purchase increase since October 2023 with 14.9 tons in June

The People's Bank of China added 480,000 ounces (approximately 14.9 tons) to its gold reserves in June, marking the largest monthly purchase since October 2023.

Scraper SystemJuly 07, 2026, 08:18 PM

China records largest gold purchase increase since October 2023 with 14.9 tons in June

The People's Bank of China added 480,000 ounces (approximately 14.9 tons) to its gold reserves in June, marking the largest monthly purchase since October 2023. This purchase indicates that the bank continued its gold buying for the 20th consecutive month.

According to official data from the State Administration of Foreign Exchange, the country's gold holdings rose from 74.96 million ounces in May to 75.44 million ounces in June. According to Bloomberg, this extended the People's Bank of China's longest uninterrupted buying streak since at least 2015.

Gold prices fell 12% in June, dropping below $4,000 per ounce and experiencing the largest monthly decline since 2008. This sharp drop was driven by rising inflation concerns due to war risks against Iran and expectations of interest rate hikes by the U.S. Federal Reserve (Fed).

The price decline also reduced the dollar value of China's gold holdings. The value of gold in reserves fell from $340.75 billion in May to $303.72 billion at the end of June. The country's total foreign exchange reserves, meanwhile, declined from $3.442 trillion to $3.416 trillion over the same period.

Central banks' gold appetite continues

According to the World Gold Council's annual survey published in June 2026, central banks accumulated an average of 1,000 tons of gold annually over the past four years. This figure is double the annual average of 500 tons in the previous decade.

The survey, which included 76 central banks, revealed that 89% of respondents expect global central bank gold reserves to increase over the next 12 months. The proportion expecting their own institutions to increase gold holdings over the same period reached 45%, the highest level in the survey's history.

According to the survey, 74% of respondents believe the dollar's share of global reserves will decline over the next five years, while gold's share will increase. This expectation makes China's moves part of a broader transformation in global reserve distribution.

Among the reasons central banks hold gold, performance during crises, portfolio diversification, inflation hedging, and precaution against geopolitical risks stand out. 90% of survey participants said gold's performance in times of crisis is an important factor in their decision to hold it; this is the highest level recorded for this factor in the survey's history.

Geopolitical instability is a more decisive factor, especially for emerging economies. According to the survey, 95% of banks in this group said geopolitical uncertainty influences their reserve management, while the figure for advanced economies was 67%.

In a statement in July, the World Gold Council announced that central banks returned to net purchases in May with 41 tons, and that China was among the prominent buyers alongside Poland, Uzbekistan, and Kazakhstan. China had added 25 tons to its reserves from the beginning of the year through May, and further increased its purchases in June.

China records largest gold purchase increase since October 2023 with 14.9 tons in June

The People's Bank of China added 480,000 ounces (approximately 14.9 tons) to its gold reserves in June, marking the largest monthly purchase since October 2023.