Following a period of decline in gold and silver prices that began after January, purchasing activity has resumed, particularly from China, which is actively replenishing its gold reserves.
In September, the People's Bank of China demonstrated a sharp increase in purchases, adding 23 tons of gold to its reserves. This marked the highest monthly purchase since September 2023. Amid major changes in central bank reserve management, the country continues to increase risks associated with precious metals.
This purchase is the twenty-third consecutive gold acquisition by the PBOC. Following purchases of 20 tons in July and August, the September volume of 23 tons indicates an acceleration in China's gold acquisition pace in recent months.
Thanks to the September increase, China's total gold purchases this year have reached 103 tons. According to data published by Kobesec Letter, China's total gold reserves have reached a record 2,410 tons. This continuous buying occurs while the central bank diversifies its reserve portfolio and strengthens its gold holdings, which is a traditional asset that does not carry direct credit risk.
According to the reports presented, China ranks fifth globally in terms of official gold reserves, trailing the United States, Germany, Italy, and France. The gap between China and the European countries ranked immediately above it has narrowed. Italy holds approximately 2,452 tons of gold, and France holds about 2,437 tons. With 2,410 tons, China lags behind France by only 27 tons and Italy by 42 tons.
If China continues to increase gold purchases at this rate, it could potentially overtake France and Italy in the coming months. Such changes would reinforce China's long-term efforts to strengthen its gold reserves and diversify its official reserve assets.
Despite price volatility, China's recent purchases point to sustained demand for gold. Kobesec Letter interprets these purchases as an attempt to acquire gold during a price decline. Monthly data shows an acceleration of purchases since March 2026. In March, China bought five tons, in April—eight tons, and in May—10 tons. Then in June, purchases rose to 15 tons, and in July and August they were 20 tons each, reaching 23 tons in September. This consistent activity proves that China is continuously increasing the volume of gold acquired, especially when prices are declining.