Russia and Kazakhstan are selling part of their central-bank gold, while Poland and China keep buying. According to the expert quoted in the article, the shift is unlikely to move global prices much.
Russia cut its gold reserves by about 6.2 tonnes in September, bringing its total reduction since January to roughly 62 tonnes. Only once before has it sold at a comparable pace: in 1998, when it disposed of 118 tonnes in just three months. Adam Stroniawski, managing director of Polish precious metals dealer Mennica Skarbowa, links the sales to a serious budget shortfall caused by the war in Ukraine and a need to fund defence spending. He says the gold is being sold in Hong Kong rather than on the London bullion market, with China’s central bank as the main buyer. Hong Kong trade data show around 100 tonnes of Russian gold arrived there between January and July, nearly three times the level of the same period last year. He does not rule out Russia rebuilding its reserves later, as it did after 1998.
Kazakhstan, one of the world’s biggest gold buyers in the first eight months of 2026, now plans to trim its holdings so gold makes up 75% of total reserves by year-end, down from about 78%. Stroniawski suggests this may be temporary, driven by a budget deficit or a desire to lock in profits after years of buying. Because the reduction is small and will be spread over time, he expects little effect on global markets.
Poland, by contrast, is unlikely to follow. Its central bank has been buying for years and is close to its 700-tonne target, which already places Poland 10th worldwide. Stroniawski argues that government and central bank policy are pulling in different directions, making liquidation improbable in this parliamentary term. He adds that large reserves strengthen the country’s credit standing and help stabilise its currency, so reaching 700 tonnes may be only one stage rather than the end of purchases.
On prices, the World Gold Council reports gold rose 25.5% in 2024 and 67.4% in 2025 in US dollar terms, but fell 4.4% in the first nine months of 2026. Some investors who bought a few years ago may now consider taking profits. Stroniawski believes temporary corrections won’t derail the long-term upward trend, supported by ongoing central bank and safe-haven demand. His advice: gold delivers reliable profits only over the long term.
At DMX Associates, we are monitoring developments in global gold markets and central bank reserve strategies.
