Central bank gold purchases slowed to 230t in Q1 2026, a 20.7% decline from the 290t acquired in Q4 2025, according to World Gold Council data. Despite the moderation, buying remains well above the 2010-2021 quarterly average of approximately 120t.
The People's Bank of China led official sector purchases with an estimated 50t in Q1, maintaining its position as the largest state buyer. Poland's NBP added 38t, while the Czech National Bank purchased 18t as part of its reserve diversification strategy.
The moderation appears price-sensitive. Central banks tempered buying during Q1 as spot gold traded above $5,000/oz through February. The correction below $4,200/oz in late Q2 may trigger a renewed wave of price-sensitive purchases, particularly from emerging market central banks.
Gold's share of global foreign exchange reserves rose to an estimated 6.8% in Q1, up 0.4 percentage points from end-2025. The IMF's COFER data shows dollar reserve share declining to 55.2%, the lowest in three decades, supporting the broader de-dollarization theme.
For procurement teams, the structural central bank demand floor remains intact even with quarterly variation. The ratio of gold-to-dollar reserves among BRICS+ central banks continues to trend upward, with an estimated 15% of new reserve allocations directed to gold in Q1.
Track central bank buying patterns as a floor indicator. The Q1 slowdown is price-sensitive rather than structural. If gold holds above $4,000/oz during Q3, expect H1 2027 buying to resume at 250-280t per quarter.