In 2025, global gold demand is projected to reach a record 5,002 tonnes, according to the World Gold Council, a 45% increase year-on-year, amid continuously soaring gold prices and central banks maintaining net purchases to bolster their reserves.
This data reinforces gold's Vai as a "safe haven" asset during prolonged economic uncertainty and geopolitical tensions. Inflows into Gold ETFs, along with demand for gold bars and gold coins, are expected to continue to be key drivers of demand trends in 2026.
- The World Gold Council projects global gold demand to reach 5,002 tonnes in 2025, a 45% increase year-on-year.
- The central bank purchased 863 tons, while the Gold ETF recorded a net increase of 801 tons.
- Geopolitical instability and safe-haven dynamics could sustain demand momentum into 2026.
Global gold demand is projected to reach 5,002 tonnes in 2025.
Gold demand in 2025 is projected to surpass 5,000 tons, reaching 5,002 tons, a 45% increase year-on-year, reflecting strong buying from central banks and Capital inflows into Gold ETFs.
The World Gold Council noted that the increase in demand coincided with gold prices frequently reaching new highs throughout the year. This indicates that safe-haven demand remains dominant as the market faces economic uncertainty.
The main buyer was the central bank, with a total purchase volume of 863 tons, contributing significantly to overall demand. Simultaneously, Gold ETFs recorded a net increase of 801 tons, indicating that institutional investors continue to use ETFs as a flexible channel to access gold.
Gold prices are expected to rise sharply in 2025 and continue to be high in early 2026.
The report states that the Medium price of gold in 2025 will increase significantly, reaching $2,709.7 per ounce, and the price will have surpassed $5,000 by early 2026.
The Medium price of $2,709.7 USD/ounce is a key data point for interpreting demand behavior: despite rising prices, purchasing power remains strong across many segments. The fact that prices are expected to surpass $5,000 in early 2026 suggests that safe-haven expectations and risk hedging needs have not yet cooled down.
In this context, monitoring all three pillars—central bank purchases, Gold ETF Capital , and physical consumption (gold bars/gold coins/jewelry)—helps assess whether the demand surge is sustainable or merely a short-term reaction to risk.
Consumers still buy despite the price increase.
Despite the sharp rise in gold prices, demand for jewelry only decreased by 18% even as prices increased by 67%, demonstrating considerable resilience among buyers.
This observation highlights an important point: demand comes not only from investors but also from consumers, even when prices are rising. This often happens when gold is perceived as a "store of value" and "preservation of value" by a segment of consumers.
In terms of market structure, when consumer demand decreases less than price increases, aggregate demand may remain higher than expected, especially if investment channels such as Gold ETFs continue to see inflows.
"Demand for jewelry fell by only 18% compared to a 67% price increase, suggesting consumers remain willing to buy at higher prices, while central banks remain committed to building up reserves."
– Louise Street, World Gold Council
Geopolitical instability is reinforcing gold's Vai as a safe haven.
Geopolitical tensions and economic instability are reinforcing gold's Vai as a "safe haven asset," laying the groundwork for continued strong demand in 2026.
History shows that when financial crises and macroeconomic uncertainty increase, gold is often preferred as a safe-haven asset. The report also links the trajectory of the price peak to previous periods of instability, when demand tended to increase.
Analysts suggest that global tensions coupled with a weak US dollar could support demand for gold. In similar cycles, central banks typically increase their gold reserves to mitigate risks from economic volatility, while gold ETFs and the bullion market maintain their appeal.
2026 Outlook: Gold ETFs, gold bullion, and gold coins continue to lead the way.
The outlook for 2026 leans toward maintaining Gold ETF Capital and a strong physical gold market, provided macroeconomic and geopolitical risks do not subside.
The demand dynamics for 2026 depend on the drivers demonstrated in 2025: central bank purchases, Capital flows through Gold ETFs, and individual investment demand for gold bars/gold coins. When these factors are in sync, demand can be sustained even at high price levels.
Conversely, if tensions ease rapidly or financial conditions reverse, the pace of accumulation may slow, but gold's Vai as a portfolio hedge remains a core argument for many investors to maintain their holdings.
Frequently Asked Questions
What will global gold demand be in 2025?
Global gold demand is projected to reach 5,002 tonnes in 2025, according to the World Gold Council, a 45% increase year-on-year.
How much gold did the central bank buy in 2025?
Central banks purchased 863 tonnes of gold in 2025, contributing significantly to overall demand.
What will the inflow of Gold ETF Capital be like in 2025?
Gold ETFs recorded a net increase of 801 tonnes in 2025, reflecting strong investment demand through ETF channels.
Why does gold still attract investment despite rising prices?
Gold is considered a safe-haven asset during times of uncertainty. The report also shows that purchasing power remains strong, with demand for jewelry decreasing by only 18% despite a 67% price increase.
What could support gold demand in 2026?
Prolonged global tensions and a weak US dollar could support gold demand, while maintaining Capital into Gold ETFs and physical gold purchases.
