A gold reserve is the

gold Gold is a chemical element; it has chemical symbol Au (from Latin ) and atomic number 79. In its pure form, it is a brightness, bright, slightly orange-yellow, dense, soft, malleable, and ductile metal. Chemically, gold is a transition metal ...

held by a national

central bank A central bank, reserve bank, national bank, or monetary authority is an institution that manages the monetary policy of a country or monetary union. In contrast to a commercial bank, a central bank possesses a monopoly on increasing the mo ...

, intended mainly as a guarantee to redeem promises to pay

depositor A deposit account is a bank account maintained by a financial institution in which a customer can deposit and withdraw money. Deposit accounts can be savings account A savings account is a bank account at a retail banking, retail bank. Commo ...

s, note holders (e.g.

paper money Paper money, often referred to as a note or a bill (North American English), is a type of negotiable promissory note that is payable to the bearer on demand, making it a form of currency. The main types of paper money are government notes, which ...

), or trading peers, during the eras of the

gold standard A gold standard is a backed currency, monetary system in which the standard economics, economic unit of account is based on a fixed quantity of gold. The gold standard was the basis for the international monetary system from the 1870s to the ...

, and also as a

store of value A store of value is any commodity or asset that would normally retain purchasing power into the future and is the function of the asset that can be saved, retrieved and exchanged at a later time, and be predictably useful when retrieved. The most ...

, or to support the value of the national

currency A currency is a standardization of money in any form, in use or circulation as a medium of exchange, for example banknotes and coins. A more general definition is that a currency is a ''system of money'' in common use within a specific envi ...

. The

World Gold Council The World Gold Council is an international trade association for the gold industry. It is headquartered in London and has offices in India, China, Singapore, the UAE and the United States. The organization's members are gold mining companies. ...

estimates that all the gold ever mined, and that is accounted for, totalled 190,040 metric tons in 2019How much gold has been mined?
", World Gold Council but other independent estimates vary by as much as 20%. At the price of $40 per gram reached on 16 August 2017, one metric ton of gold has a value of approximately $40.2 million. The total value of all gold ever mined, and that is accounted for, would exceed $7.5 trillion at that valuation and using WGC 2017 estimates.One tonne is equal to approximately 32,150.75 troy ounces. Gold, silver, & other precious metals & gems are weighed by the troy ounce: 12 troy ounces = 1 troy pound (and not 16 to 1 as in the avoirdupois weight system). Ghana is placed as the leading gold producer in Africa and among the top 10 producing countries, globally (Hilson et al., 2022). It is estimated that 70% of West African gold output is mined in Ghana (Hilson & Potter, 2005).

Wartime relevance

During most of history, a nation's gold reserves were considered its key financial asset and a major prize of war. A typical view was expressed in a secret memorandum by the British Chief of the Imperial General Staff from October 1939, at the beginning of

World War II World War II or the Second World War (1 September 1939 – 2 September 1945) was a World war, global conflict between two coalitions: the Allies of World War II, Allies and the Axis powers. World War II by country, Nearly all of the wo ...

. The

British Military The British Armed Forces are the unified military forces responsible for the defence of the United Kingdom, its Overseas Territories and the Crown Dependencies. They also promote the UK's wider interests, support international peacekeeping e ...

and the British Secret Service laid out "measures to be taken in the event of an invasion of Holland and Belgium by Germany" and presented them to the War Cabinet: The Belgian government transferred remainder to southern France. Following the outbreak of war, the gold held in France was sent to

Dakar Dakar ( ; ; ) is the capital city, capital and List of cities in Senegal, largest city of Senegal. The Departments of Senegal, department of Dakar has a population of 1,278,469, and the population of the Dakar metropolitan area was at 4.0 mill ...

, the capital of

Senegal Senegal, officially the Republic of Senegal, is the westernmost country in West Africa, situated on the Atlantic Ocean coastline. It borders Mauritania to Mauritania–Senegal border, the north, Mali to Mali–Senegal border, the east, Guinea t ...

, then part of the

French colonial empire The French colonial empire () comprised the overseas Colony, colonies, protectorates, and League of Nations mandate, mandate territories that came under French rule from the 16th century onward. A distinction is generally made between the "Firs ...

. This was against the Belgian Government's wishes, with the Belgians having directed the French to transfer it to the United States. After the Germans occupied Belgium and France in 1940, they demanded the Belgian gold reserve held in Senegal. In 1941, Vichy French officials arranged the transport of 4,944 boxes with 198

tonnes The tonne ( or ; symbol: t) is a unit of mass equal to 1,000 kilograms. It is a non-SI unit accepted for use with SI. It is also referred to as a metric ton in the United States to distinguish it from the non-metric units of the s ...

of gold to officials of the German Reichsbank and the German Government used it to purchase commodities and munitions from neutral countries. The

Banque de France The Bank of France ( ) is the national central bank for France within the Eurosystem. It was the French central bank between 1800 and 1998, issuing the French franc. It does not translate its name to English, and thus calls itself ''Banque de ...

fully compensated the Belgian National Bank for the loss of its gold after the war.

IMF holdings

Since early 2011, the gold holdings of the

IMF The International Monetary Fund (IMF) is a major financial agency of the United Nations, and an international financial institution funded by 191 member countries, with headquarters in Washington, D.C. It is regarded as the global lender of la ...

have been constant at 2,814.1 tonnes (90.5 million troy ounces).

Officially reported holdings

The IMF regularly maintains statistics of national assets as reported by various countries. This data is used by the

to periodically rank and report the gold holdings of countries and official organizations. On 17 July 2015, China announced that it increased its gold reserves by about 57 percent from 1,054 to 1,658 tonnes, while disclosing its official gold reserves for the first time in six years. In July 2015, the State Bank of

Vietnam Vietnam, officially the Socialist Republic of Vietnam (SRV), is a country at the eastern edge of mainland Southeast Asia, with an area of about and a population of over 100 million, making it the world's List of countries and depende ...

stated that gold reserves totalled 10 tonnes. However, it was not ranked below due to the current absence of any published data. In 2019, the State Oil Fund of the Republic of Azerbaijan (SOFAZ) extended the gold allocation limit from 5% to 10%, in accordance with the amendments made to the Investment Policy of the Fund for diversification purposes. However, the Central Bank of

Azerbaijan Azerbaijan, officially the Republic of Azerbaijan, is a Boundaries between the continents, transcontinental and landlocked country at the boundary of West Asia and Eastern Europe. It is a part of the South Caucasus region and is bounded by ...

does not hold any gold. The gold listed for each of the countries in the table may not be physically stored in the country listed, as central banks generally have not allowed independent

audit An audit is an "independent examination of financial information of any entity, whether profit oriented or not, irrespective of its size or legal form when such an examination is conducted with a view to express an opinion thereon." Auditing al ...

s of their reserves. Gold leasing by central banks could place into doubt the reported gold holdings in the table below. * Notes

Notes

References

{{Gold reserves by country, state=expanded Reserve Reserve

Wartime relevance

IMF holdings

Officially reported holdings

See also

Notes

References