African central banks are gradually aligning with a global shift toward gold-backed reserves, as total central bank purchases reached 27 tonnes in February 2026, valued at about $2billion depending on prevailing prices.
African central banks are gradually increasing gold-backed reserves. The majority of global central bank gold demand is concentrated among a small group of consistent buyers. Africa’s gold accumulation is modest but strategic, led by the Bank of Uganda, Kenya and the DRC.
While global gold demand remains high, driven by countries like China, Poland, and Kazakhstan, Africa is adopting a slow and policy-driven approach to increase holdings.
The uptick marks a rebound from January’s slowdown and reflects a sustained push toward reserve diversification.
Global gold demand from central banks remains highly concentrated among a small group of consistent buyers rather than being evenly spread across the global financial system.
Although more than 60 central banks have added gold in recent years, the bulk of net demand is still driven by a narrow group of aggressive accumulators, mainly in emerging markets.
According to analysis by the World Gold Council, the National Bank of Poland has been one of the most aggressive, adding roughly 80–95 tonnes in 2025, while People’s Bank of China remains the most consistent accumulator, extending its buying streak beyond 16 months with reserves above 2,300 tonnes.
Kazakhstan has also steadily increased holdings, adding about 40–50 tonnes, while Turkey and India have taken a more cyclical approach, alternating between purchases and pauses depending on domestic and market conditions.
This concentration has helped keep global demand elevated above historical averages since 2022, often exceeding 1,000 tonnes annually in peak years before easing slightly in 2025–2026.
Bank of Uganda leads Africa’s cautious entry into gold accumulation.
African participation remains modest but increasingly strategic. Uganda is at the forefront, launching a domestic gold purchasing programme targeting at least 100 kilograms (0.1 tonnes) over four months.
Last year, African central banks delivered mixed but increasingly strategic performances, with gold playing a central role in managing currency pressures and economic instability.
Ghana stood out for aggressively boosting reserves to support the cedi, while Egypt maintained a more cautious, stability-focused approach. Meanwhile, Zimbabwe experimented with a gold-backed currency, achieving short-term stability but facing lingering credibility concerns.
The initiative reflects a deliberate shift toward locally sourced reserves, aimed at reducing exposure to currency volatility while strengthening balance sheet stability.
In Kenya, gold reserves remain extremely low at just 0.02 tonnes, but policymakers have signaled plans to begin gradual accumulation. With foreign reserves estimated at $12–13 billion, Kenya has room to diversify into gold as part of broader reserve management reforms.
Elsewhere, the Democratic Republic of the Congo is targeting 15 tonnes of artisanal gold production in 2026, as part of efforts to formalise mining output and strengthen state control over bullion flows.
Although Africa still holds a negligible share of global central bank gold reserves, the direction is increasingly clear.
Rather than aggressive accumulation, the continent is adopting a slow, structured, policy-driven approach, aligning with a wider global trend where gold continues to regain importance as a reserve hedge in uncertain financial markets.
