PBOC continues gold buying streak for 16th consecutive month
China’s central bank increased its gold reserves for a 16th straight month in February, as geopolitical tensions and rising prices boost demand
Amid intensifying global conflicts, China has continued to accumulate gold reserves, with the country’s central bank increasing its holdings again in February — marking the 16th consecutive month of purchases.
According to a report by Bloomberg, the People’s Bank of China continued buying gold in February despite rising prices, extending the country’s ongoing accumulation streak as geopolitical tensions in the Middle East pushed bullion prices higher.
China’s gold reserves rose by 30,000 troy ounces last month, bringing the total to 74.22 million troy ounces. The purchase forms part of the latest gold-buying cycle that began in November 2024.
Although gold prices experienced some correction earlier, they have climbed again in recent weeks and returned to above $5,000 per ounce, following attacks by the United States and Israel on Iran.
Meanwhile, a report by the World Gold Council (WGC) said central bank gold purchases slowed at the start of the year due to price volatility.
However, net purchases in January — led by countries in Central Asia and East Asia — still reached around 5 tonnes, although this was lower than the 12-month average of 27 tonnes.
Marissa Salim, an analyst at the World Gold Council, said fluctuations in gold prices and seasonal holiday periods may have temporarily slowed purchases by some central banks.
Nevertheless, she noted that ongoing geopolitical tensions are likely to keep central banks accumulating gold throughout 2026 as they seek to diversify reserves and hedge against global uncertainty.
