Russia has expanded its gold reserves to an all-time high of $217.4 billion as of March 1, 2025, surpassing China and ranking fifth globally in gold holdings. According to the RBC news website, gold now constitutes 34.4 per cent of Russia’s total foreign exchange reserves, highlighting its strategic shift towards financial security amid global economic uncertainties.
The Central Bank of Russia remains committed to increasing its gold holdings, aligning with a broader trend among central banks worldwide that are turning to precious metals as a hedge against financial instability.
Russia’s Decade-Long Gold Accumulation Strategy
Russia has been one of the most aggressive gold buyers globally over the past decade, particularly since 2014, when Western sanctions followed the annexation of Crimea. This purchasing strategy intensified in 2017, when Russia acquired 224 tonnes of gold, primarily financed by reducing its US Treasury holdings. The move underscores Moscow’s effort to de-dollarise its economy and strengthen financial sovereignty.
Despite Russia’s rise, the United States remains the largest gold holder with 8,133.5 tonnes, which constitutes over 74 per cent of its foreign reserves. Germany, Italy, and France also maintain significant reserves, each exceeding 2,400 tonnes, with gold comprising more than 70 per cent of their national reserves.
Gold Prices Surge Amid Global Economic Uncertainty
The World Gold Council reported that global gold demand hit a record 4,900 tonnes in 2024, driven by sustained central bank purchases and heightened investment interest. Gold prices broke records 40 times throughout the year, surging 27 per cent due to economic uncertainties and geopolitical tensions.
As of March 15, 2025, the official gold price in Russia stood at 8,181 rubles per gram, valuing a 10-kilogram gold bar at approximately 81.8 million rubles ($1.09 million). This price increase reflects rising demand and Moscow’s continued focus on gold accumulation as a key economic safeguard.
