Which Country Has the Most Gold Reserves?
Which country holds the greatest gold reserves?
The United States currently leads this category with 8,133.5 tonnes stored across iconic locations like Fort Knox and the Federal Reserve Bank of New York – nearly five percent of all gold ever extracted! This treasure trove accounts for almost all the precious metal ever extracted over history.
Over the past several years, the top 10 central banks’ gold holdings have remained virtually unchanged; here is their total amount in tons:
United States
The United States boasts the world’s largest gold reserves at 8,134 metric tons. These bullion stores can be found at Fort Knox, the U.S. Mint in Denver and at the Federal Reserve Bank in New York City.
After World War II, America increased its holdings of gold as an insurance policy against inflation and currency crises. Under 1934’s Gold Reserve Act, ownership of all monetary gold was transferred from financial institutions back into Treasury ownership – with dollars no longer redeeming against gold as previously allowed for financial institutions. Today gold remains an integral component of foreign reserves serving both as an inflation-proof counterbalance and crisis prevention strategy.
Germany
Germany boasts one of the largest gold reserves worldwide, but over two-thirds are stored overseas due to a Cold War policy where West Germany tried to store as much gold as possible away from Soviet Russia in case of invasion.
But, over the past six years, the Bundesbank has made great strides towards increasing transparency of its gold reserves. In 2015, it made history as the first central bank ever to publish a comprehensive inventory list of its gold bars, sparking endless rumor mill speculation from gold believers who weren’t afraid of an elaborate conspiracy theory or two.
France
France may not be well known for its gold reserves, but they hold some of the world’s largest official holdings – more so even than Mali!
France is also renowned as a producer of metal detectors designed specifically to detect gold, and Toulouse-based company XP stands out among them as a global market leader in this regard.
Gold mining has long been associated with human rights violations and environmental degradation; however, responsible large-scale mining as well as artisanal and small-scale gold mining (ASGM) can have positive results for communities and the environment.
Italy
Italy holds 2,451.8 tonnes of gold reserves in its central bank reserves, making them one of the third-largest central bank holders globally. They have not sold any since 1999!
Italy is currently suffering from political instability and euroskepticism, and Eurosceptic leader Claudio Borghi of the League has proposed legislation declaring all foreign-held gold belongs to Italy – something that could allow politicians to raid Italy’s reserves to fund spending promises.
Italy’s gold is currently stored at Banca d’Italia’s Palazzo Koch headquarters in Rome as well as various overseas locations including the Federal Reserve Bank of New York, London, and Berne.
Switzerland
United States and Switzerland share many ideals and values that are fundamental to both countries, and our economic and commercial ties run deep. Switzerland has long held onto its tradition of neutrality since it was founded in 1291; they don’t take sides in international conflicts and prefer staying out of them altogether.
Switzerland is well known for its political neutrality, evidenced in its federal structure which brings political decision making closer to citizens than anywhere else in Europe. Canton governments enjoy broad powers with significant citizen input through referendum and initiatives; seats on Switzerland’s federal council government remain relatively secure due to an agreement that maintains stability over decades.
Russia
Since 2014, Russia’s central bank has significantly bolstered its gold reserves – perhaps as a reaction to sanctions imposed after Russia invaded Ukraine in 2014.
Gold serves as an effective hedge against financial sanctions. Monetary gold stored within a country’s own vaults cannot be easily taken away by foreign adversaries without resorting to military force.
Gold can also be exchanged between countries without needing SWIFT or correspondent bank accounts, making its exchange more difficult to track. Criminal organizations and kleptocrats may use global gold markets to launder funds – one reason many investors choose storing part of their wealth in physical bullion.
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