The WGC survey, which gathered responses from 73 central banks between February 25 and May 20, reveals a strong global appetite for gold. A record of 95 percent of banks now expects to increase their gold reserves within next year, compared to 81 percent in 2023, while 76 percent anticipate a greater proportion of gold in their total reserves in the next five years. On the contrary, almost three quarters of respondents expect their reservations called dollars to decrease, reflecting the growing concerns about economic policy, inflation and geopolitical risks of the United States.
The central banks around the world are becoming more gold as a preferred reserve asset, indicating a strategic change of the US dollar, according to the latest annual survey of the World Gold Council (WGC). The findings occurred when the Central Bank of Nigeria reported a dramatic increase in the value of its gold holdings, which doubled more than ₦ 2.77 billion at the end of 2024.
“The resistance of gold during crises, its benefits of diversification and effectiveness as coverage against inflation are key reasons why central banks are reinforcing their gold positions,” WGC said in his statement.
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This pivot is not merely theoretical. Central banks have added more than 1,000 gold metric tons annually during the last three years, more than double the average of 400–500 tons recorded in the previous decade.
In Nigeria, the increase in the value of the Central Bank's Gold Reserve did not result from the increase in holdings, which remained unchanged in 687,402 Troy ounces. Instead, it was driven by a strong increase in world gold prices. For the end of the year 2024, the CBN valued its gold at $ 2,624.39 per ounce, compared to $ 2,062.98 the previous year. This revaluation is consistent with global price movements, since gold reached a historical maximum of $ 3,500.05 per ounce in April 2024, stimulated by the persistent global economic volatility and the continuous consequences of the invasion of Ukraine of Russia.
The London Bullion Market Association (LBMA) data underline the trend, which shows an average gold price of $ 2,386 per ounce by 2024, an increase of 23 percent year after year. Only in the fourth quarter, prices averaged $ 2,663 per ounce, further improving the book value of the holding of the Central Bank.
Emerging markets are at the forefront of this strategic change. According to WGC, 69 percent of central banks in these economies are more likely to increase their gold reserves, compared to 40 percent in advanced economies.
Concerns about commercial disputes, tariffs and broader geopolitical instability were also cited by 59 percent of respondents as factors that influence reserve management decisions.
With the central banks in all regions, gold procurement increases in response to inflation, monetary instability and broader economic uncertainty, gold seems to be recovering its traditional role as a cornerstone of monetary safety.
For Nigeria, the moment of this global trend has produced significant profits, at least on paper, strengthening the country's external asset position without a single additional ounce of langes added.