China’s central bank continued its aggressive gold accumulation strategy in May 2026, adding 10 tonnes of gold to its reserves. The latest purchase marks the largest monthly addition since January 2025 and highlights Beijing’s accelerating demand for the precious metal amid ongoing efforts to diversify its foreign exchange reserves.
According to the latest reserve data, China has now increased its gold holdings for 19 consecutive months, representing the longest uninterrupted buying streak since at least 2015, when the People's Bank of China (PBOC) began publishing more regular updates on its gold reserves.
China Adds 10 Tonnes in May
The People's Bank of China purchased an additional 10 tonnes of gold during May 2026. The latest acquisition follows an 8-tonne purchase recorded in April 2026, marking the third consecutive month of net gold purchases by the central bank.
The sustained buying trend suggests that Chinese authorities remain committed to increasing their exposure to gold despite already holding one of the world's largest official reserves.
Record Gold Reserves Reach 2,331 Tonnes
Following the latest purchases, China’s official gold reserves have climbed to a record 2,331 tonnes.
At current market prices, these holdings are valued at more than 9% of the country's total foreign exchange reserves. The growing share of gold within China's reserve portfolio reflects a broader strategy aimed at reducing dependence on traditional reserve assets and strengthening long-term financial stability.
Third-Largest Central Bank Gold Buyer in 2026
China has emerged as one of the most active central bank gold buyers this year.
Year-to-date, the country has added a total of 27 tonnes of gold, making it the third-largest central bank purchaser globally in 2026. Only Poland and Uzbekistan have acquired more gold during the same period.
The continued accumulation places China among a group of central banks that have been increasing gold reserves as geopolitical tensions, currency risks, and global economic uncertainty remain elevated.
Gold Purchases Accelerating in Recent Months
Data presented by Azuria Capital, citing Correlation Economics, shows a noticeable acceleration in China's gold purchases during recent months.
The chart illustrates that after a period of relatively modest monthly additions throughout much of 2025 and early 2026, purchases have increased sharply in recent months:
- March 2026: approximately 5 tonnes
- April 2026: approximately 8 tonnes
- May 2026: 10 tonnes
The May addition represents the highest monthly purchase recorded since January 2025, signaling renewed momentum in the country's reserve accumulation strategy.
Historical Trend Shows Strong Buying Cycles
The chart tracking China Central Bank Gold Purchases from January 2023 through May 2026 highlights several major buying phases.
During 2023, monthly purchases frequently ranged between 15 and 29 tonnes, with the strongest buying activity occurring in mid-2023. Gold acquisitions later moderated during 2024 before temporarily slowing significantly.
Purchases resumed in late 2024 and continued throughout 2025, although at a lower pace. However, recent data suggests that China's demand is once again strengthening, with monthly additions steadily increasing throughout 2026.
Why China Is Buying More Gold
Analysts believe several factors are driving China's continued gold accumulation:
- Diversification away from traditional reserve currencies.
- Protection against global economic uncertainty.
- Hedging against inflation and currency volatility.
- Strengthening confidence in national reserves.
- Reducing exposure to geopolitical and financial risks.
Gold has increasingly become a preferred reserve asset for central banks worldwide due to its historical role as a store of value during periods of market stress.
Outlook
China's latest purchase reinforces the broader global trend of central bank gold accumulation. With reserves now standing at a record 2,331 tonnes and gold accounting for more than 9% of total foreign exchange reserves, the country's commitment to expanding its precious metal holdings remains clear.
The acceleration in purchases during recent months, combined with a record 19-month buying streak, suggests that China continues to view gold as a strategic asset within its long-term reserve management framework. Investors and market participants will closely watch future reserve updates to determine whether this renewed pace of accumulation continues through the remainder of 2026.
