(Kitco News) – Central banks bought less than 20% of the average monthly demand from 2025 in January, but new sovereign players also entered the market, suggesting that the demand base for gold reserve accumulation is broadening, according to the latest data from the World Gold Council.
“Central bank gold buying momentum eased at the start of the year, compared to the prior 12-month average of 27t,” wrote Marissa Salim, Senior Research Lead, APAC at the World Gold Council (WGC) in their latest monthly report. “Net purchases for the month of January totalled 5t. Volatile gold prices and the holiday season may have given some central banks pause, though geopolitical tensions, which have shown little sign of abating, are likely to keep accumulation going through 2026 and beyond.”
Salim noted that January’s sovereign activity was concentrated in Asia and Eastern Europe.
“The Central Bank of Uzbekistan bought 9t the month, continuing its buying streak since October,” she said. “The purchase lifted its gold reserves to 399t. The growth in Uzbekistan’s gold reserves has been quite precedented, it stood at 57% in the same period in 2020 and grew to 86% of its reserves as of January 2026.”
“Bank Negara Malaysia was a new name amongst the gold purchasers, having bought 3t in January – its first increase since 2018,” Salim noted. “The central bank lifted its gold reserves to 42t, or 5% of its total reserves as of the end of January.”
Other central banks that bought gold in January included Czech Republic and Indonesia with 2 tonnes apiece, with China and Serbia each buying 1 tonne. “China’s 15 consecutive months of gold buying has lifted its gold reserves to nearly 10% of total reserves,” she said.
On the other side of the equation, the Bank of Russia was the largest net seller last month, liquidating 9 tonnes. “This is followed by the Bulgarian National Bank (2t), which transferred the gold to the ECB as part of the country’s euro adoption which took place on 1st January 2026, making it the 21st member of the European Union,” Salim noted. Kazakhstan and the Kyrgyzstan also sold 1 tonne from their respective gold reserves.
South Korea also emerged as a buyer last month, for the first time in over a decade. “The Bank of Korea (BOK) announced plans to incorporate overseas-listed physical gold ETFs into its foreign reserve portfolio from Q1 2026, marking its first gold-related investment since 2013,” Salim wrote. “The BOK cited liquidity and ease of tradability as key advantages of the ETF structure over physical gold. The BOK currently holds 104t of physical gold (roughly 4% of its total reserves), placing it 41st in ranking among global peers.”
“Our Central Bank Gold Reserves Survey 2025 found that accessing gold via ETFs is rather uncommon amongst central banks,” she noted. “[N]one of the respondents whom we surveyed had opted for it as a method to purchase gold.”
The World Gold council believes that the broadening of demand from a wider pool of central banks could prove to be a key theme in 2026.
“As we have seen in January, both Malaysian and Korean central banks have resumed interest in increasing gold exposure after prolonged absences,” Salim concluded. “The next 10-15 days could prove crucial in shaping the geopolitical backdrop this year, as US-Iran tensions continue to escalate with little indication of diplomatic resolution in sight. The strong pace of gold accumulation by central bankers since 2022 has been intertwined with how nations position themselves in a shifting world order.”
