Top 5 countries with the Largest Gold Reserves in the World
A Gold Reserve is gold bullion held by the central bank of any country. This is done to ensure and honor the promises of payments made by the government to the people and to other countries in the form of paper currency. It was reported by the World Gold Council at the end of year 2018 that gold purchases by central banks of countries was at a 50 year high and global gold purchases have increased 75 percent over the past year.
In 2017, Russia overtook China to become the fifth largest holder of gold reserves in the world. This comes amid the rising tension between Russia and The United States. Some two years ago, Russia purchased 224 tons of gold in an effort to further devalue the US dollar. It currently holds 2,119.2 tons of gold in reserves.
France holds 2,436.0 tons of gold in reserves which amounts to over 60 percent of its foreign reserves. More and more politicians in France are calling for bringing back all of France’s gold reserves being held by foreign countries and central banks.
Italy currently holds 2,451.8 tons of gold in reserves and it represent almost 67.9 percent of its foreign reserves. It plans to further increase its gold reserves amid the volatile market value of US dollar.
Germany currently holds 3,370.0 tons of gold which amounts to over 70 percent of its foreign reserves. It is currently in the process of bringing back 674 tons of gold from France and other countries. This gold was stored as measure of precaution during cold war and the process of repatriation is expected to be completed by 2020.
1. United States
The country with the largest gold reserve in the world is, US. The Federal Reserve in US holds 8,133.5 tons of gold which is largest by any central bank. This accounts for 75.2 percent of the total foreign reserves. The US has long been considered as a safe haven for gold bullion reserves.