Central Banks Driving Strong Cryptocurrency Purchases in Q1 2023; New Record Highs Reached

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During the first quarter of 2023, central banks all over the world added a lot of gold to their national reserves. This is according to a report from the World Gold Council, an organization that keeps track of global gold statistics. In the first quarter of 2023, these banks bought about 230 tonnes of gold which is a whopping 176% more than what they purchased in Q1 2022.

Central banks’ strong demand for gold

The World Gold Council has reported that during the first quarter of this year, a lot of central banks around the world were buying gold. In total, they purchased 230 tonnes – which is more than twice as much as what they bought in the same period last year. This shows that central banks have strong demand for gold!

In the last quarter, there was a big drop in gold purchases by central banks and other organizations. Instead of buying 300.4 tonnes of gold like they used to, they only bought 150.2 tonnes.

The World Gold Council (WGC) is having a hard time figuring out if gold demand will increase or decrease this year because there’s not enough data available. But the WGC still feels that there won’t be much change and people are still likely to buy gold as it has been like in the recent years.

Central Banks Go Shopping

It looks like four different institutions bought a lot of gold in the past quarter! The Monetary Authority of Singapore increased their reserves by 69 tonnes and it now sits at 222 tonnes – that’s an increase of 45% from the last quarter. China, who came second, purchased 120 tonnes of gold which brought them up to 2,068 tonnes of gold reserves.

China added 102 tons of gold to its reserves during the five months from November to March. Turkey bought 45 tonnes, but then sold 15 tonnes to its own people because they weren’t allowed to import gold for a while. India bought 7 tonnes and now their national reserve has 795 tonnes of gold.

Do you want to know what people think about the report of the World Gold Council on gold demand and how central banks get gold for their savings? Write your thoughts in the comments below!