Emerging Market Central Banks Drive Historic Gold Purchases
Over the last three years, Asian and Eastern European central banks have averaged 12 tonnes of gold purchases per month, with African nations adding 2 tonnes monthly. In the past 12 months, Asian banks bought 8 tonnes per month and Eastern European banks 7 tonnes, as emerging markets diversify currency reserves into gold.
Emerging market central banks are accelerating gold purchases at a historic pace, according to data from The Kobeissi Letter.
Over the last three years, Asian and Eastern European countries have purchased an average of +12 tonnes of gold per month. African nations have added +2 tonnes per month during the same period.
In the last 12 months, Asian central banks have bought +8 tonnes of gold per month on average, followed closely by Eastern European countries at +7 tonnes per month.
This sustained buying trend indicates that emerging markets are rapidly diversifying their currency reserves into gold, away from traditional reserve currencies.
Source: The Kobeissi Letter