Key Notes
- Goldman Sachs estimates central banks bought 79 tonnes of gold in August, roughly 4.6 times the pre-2022 monthly average, while the WGC recorded 39 tonnes of reported net buying.
- The Netherlands shifted 86 tonnes of existing reserves toward London, while France completed its 129-tonne replacement program by January, without increasing either country’s total holdings.
- The WGC survey found 20% of respondents declined to disclose storage locations, up from 8%, as reserve managers balanced domestic custody with access to overseas bullion markets.
Central banks bought an estimated 79 tonnes of gold in August, more than four times the average monthly pace before 2022, according to Goldman Sachs Group Inc. (NYSE: GS). The strong buying comes as reserve managers reconsider where their bullion should be held and how quickly it could be used in a crisis.
Goldman’s estimate compares with a pre-2022 average of 17 tonnes a month, putting August’s pace at roughly 4.6 times that benchmark. China was the largest identifiable buyer at an estimated 25 tonnes, investingLive reported, citing the bank’s research.
Separate disclosures from the Dutch and French central banks show how that reserve strategy is changing. Both have reduced gold exposure held in New York, but their transactions involved replacing existing holdings or shifting custody, rather than increasing the total amount of gold they owned.
Estimated Buying Exceeds the Reported Total
The 79-tonne figure is Goldman’s estimate, distinct from a complete official tally. Its gauge uses trade and flow information alongside the less timely disclosures available from central banks, and can be revised as more information arrives.
The World Gold Council’s October 6 monthly update recorded 39 tonnes of reported net purchases for August. That series draws on information from the International Monetary Fund and individual central banks, with data available through the end of the month.
China led that reported activity with approximately 20 tonnes, extending its buying streak to 22 months. Poland and Uzbekistan each added 8 tonnes, while Kazakhstan bought 7 tonnes. Sales by other countries reduced the net global total.
As we previously reported, Poland and China were also prominent buyers earlier in the year. August’s figures extend that pattern, although estimated purchases and reported net buying should be compared within their own series.
The Netherlands Moves Gold Closer to London’s Market
De Nederlandsche Bank announced on September 2 that it had shifted approximately 86 tonnes of gold from holdings in New York and Ottawa to London between March and August. It cited geopolitical unrest, crisis preparedness and the ability to trade the metal more readily.
The operation combined different methods. Around 59 tonnes were sold in New York and replaced with gold bought in London. More than 27 tonnes were physically transported from North America to the bank’s facility in Zeist, while a similar quantity moved from Zeist to London.
London’s share of Dutch reserves rose from 18.1% to 32.1%, while the domestic share stayed at 30.8%. New York and Ottawa each held 18.5% afterward. The total reserve remained unchanged at 612.4 tonnes.
The destination is significant. This was a decision to improve access to an overseas trading center, alongside diversification between jurisdictions. It did not consist of flying all 86 tonnes directly from North America to London.
France Replaced Older Bars Without Expanding Reserves
France’s operation followed a different timetable and rationale. The Banque de France sold 129 tonnes held in New York and bought replacement bars between July 2025 and January 2026, Reuters reported on March 24.
The transaction completed an upgrade of that portion of its reserves to modern international standards. The replacement gold is held in Paris, while the overall reserve remained approximately 2,437 tonnes.
Governor François Villeroy de Galhau said the decision was not politically motivated and reflected the European market for higher-standard gold. That explanation differs from the geopolitical concerns explicitly cited by the Dutch central bank.
The March announcement therefore described a completed replacement program, rather than a new 129-tonne purchase that month. Treating the two sides of the trade as additional reserve accumulation would overstate demand.
More Reserve Managers Withhold Storage Details
The WGC’s 2026 operational survey found that 20% of respondents preferred not to answer where they vaulted their gold, up from 8% the previous year. Those percentages refer to survey respondents, rather than a measured share of the world’s bullion.
The Bank of England remained the most frequently cited storage location at 57%, while 49% said they kept at least some gold domestically. Respondents could identify multiple locations.
Among those surveyed, 9% had increased domestic storage over the preceding year and 10% had diversified overseas locations, compared with 5% and 2%, respectively, in the prior survey.
The results point to several approaches operating at once: bringing some reserves home, spreading overseas holdings and maintaining access to established trading hubs. They do not establish a coordinated withdrawal from every foreign custodian.
Gold’s Location Matters Alongside Its Quantity
The Bank of England’s own custody explanation shows why the address matters. It holds gold for other central banks and certain commercial firms, giving them access to London’s bullion market. Customers retain title to specific allocated bars.
Trades between customers can change ownership without the metal leaving the vault. Conversely, moving or replacing gold between storage centers can change its location without changing the owner’s total reserve.
Goldman’s buying estimate and the European storage decisions therefore describe complementary developments: demand for additional metal, and efforts to make existing holdings more useful under stress. For investors assessing official-sector demand, the distinction between purchases, sales and custody changes remains essential.
