Gold Overtakes U.S. Treasuries at 27% of Reserves, Lifting African Producers
Updated
Updated · Business Insider Africa · Jun 4
Gold Overtakes U.S. Treasuries at 27% of Reserves, Lifting African Producers
3 articles · Updated · Business Insider Africa · Jun 4
Summary
Gold made up 27% of global central bank reserve assets at end-2025, surpassing U.S. Treasuries at 22% in a major reserve-management shift.
Sustained central bank buying and a near-doubling in gold prices over two years drove the move, with bullion hitting a record above $5,500 an ounce in January amid geopolitical tensions.
Ghana, South Africa, Mali, Burkina Faso and Tanzania stand to gain as higher prices and demand lift export earnings, royalty collections, tax revenue and the economics of new mining projects.
Several African governments are already buying domestically mined gold for their own reserves, using bullion to bolster monetary stability and cut reliance on foreign currencies.
Analysts warn heavier dependence on gold can deepen exposure to price swings and illegal mining, but the trend still raises Africa's strategic weight in the global financial system.