Central banks to increase gold buying to 60 tons monthly in 2026

Monday 18 May 2026 - 15:32

By: Dakir Madiha

Central banks to increase gold buying to 60 tons monthly in 2026

Global central banks are expected to significantly expand their gold purchases throughout 2026, reinforcing a long-term shift in reserve management strategies. A new outlook from Goldman Sachs projects average monthly acquisitions of around 60 tons, even as gold prices have recently retreated from record highs. The forecast signals sustained demand from monetary authorities despite short-term market volatility.

Analysts revised their framework after observing stronger-than-expected accumulation patterns over recent months. Average monthly buying is now estimated at 50 tons on a 12-month rolling basis through March, up sharply from earlier projections of 29 tons. The bank maintained its year-end price target for gold at 5,400 dollars per ounce, reflecting confidence in continued structural support from official sector demand.

Central banks in emerging markets remain at the center of this trend, driven by efforts to diversify reserves away from the United States dollar. Gold is increasingly viewed as a strategic hedge against geopolitical instability and financial market shocks. Recent data shows that official sector demand reached 244 tons in the first quarter of 2026, rising from the previous quarter, with sustained accumulation reported from major buyers including China and Poland.

At the same time, gold markets have faced pressure in the short term. Spot prices have hovered around 4,530 dollars per ounce, roughly 19 percent below the peak recorded earlier in the year. Higher energy costs linked to geopolitical tensions have contributed to inflationary pressures, while rising bond yields have reduced demand for non-yielding assets such as gold. Analysts also note that liquidation cycles in broader financial markets have weighed on prices.

Despite these headwinds, major financial institutions remain broadly optimistic. Price projections across Wall Street vary widely, with some forecasts extending well above 6,000 dollars per ounce. The divergence reflects uncertainty over inflation, interest rate trajectories, and geopolitical risks, while reinforcing gold’s role as a core reserve and investment asset in an increasingly fragmented global financial system.