45% of Central Banks Plan to Increase Gold Holdings Over Next 12 Months, OMFIF Survey Finds

According to the Official Monetary and Financial Institutions Forum (OMFIF), central banks remain constructive on gold, with 45% expecting to increase their holdings over the next 12 months. The survey, published this week, found that reserve managers view bullion as an essential reserve asset providing diversification and protection against geopolitical fragmentation, with many expecting gold prices to trade between $5,000 and $6,000 per ounce over the next year.

The World Gold Council's annual Central Bank Gold Reserves Survey, published two weeks earlier, reinforced the same trend, with nearly 90% of central banks believing total global official gold reserves will continue to rise. Goldman Sachs forecasts gold could approach $4,900 an ounce next year, citing sovereign demand as a primary market pillar.