China's Central Bank Adds About 20 Tons of Gold Reserves in July, Marking 21st Consecutive Month of Increases

According to the latest disclosures from China's State Administration of Foreign Exchange and the People's Bank of China, China's gold reserves have increased for the 21st consecutive month as of the end of July 2026.

Data shows that China's gold reserves rose from 75.44 million troy ounces at the end of June to 76.08 million troy ounces at the end of July. The single-month increase in July reached 640,000 troy ounces (approximately 20 tons), not only extending the growth trend since 2022 but also marking the largest monthly increase since October 2023. As of the end of July, the book value of China's gold reserves had risen to $306.35 billion.

Central banks around the world are increasingly turning to gold as a hedge against geopolitical risks and to diversify their foreign reserves. The World Gold Council noted that central bank gold demand rebounded strongly in the second quarter of 2026, reaching 289 tons. Additionally, the People's Bank of China has recently been actively building up gold inventories in Hong Kong to support its development as a gold trading hub, while gradually repatriating reserves previously held in London back to domestic custody.

Following the release of data by the People's Bank of China, spot gold prices rose 1.8%, breaking above $4,316 per ounce—the highest level since mid-June.

Earlier, as U.S. inflation data slowed, market expectations for Federal Reserve rate hikes cooled, allowing gold prices to end four consecutive months of declines in July, rising approximately 0.84% for the month.

Experts anticipate that while central banks may tactically adjust their buying pace in response to gold price fluctuations in the short term, reserve diversification will remain a long-term strategic priority.