India Keeps Most Gold Domestic
New Delhi, September 5, 2026: Central banks across the world are increasingly reassessing where they store their gold reserves, with several countries moving holdings closer to home or to major global trading centres.
The Netherlands has moved around 86 tonnes of gold from the United States and Canada to London, citing the need for greater preparedness during a crisis and easier access to the London gold market. France, meanwhile, shifted 129 tonnes of gold from New York to Europe after determining that some of its gold bars did not meet required purity standards.
India has also increased the share of its gold reserves held within the country. Latest data indicate that around 77% of India’s gold reserves are now stored domestically. The Reserve Bank of India has not clearly stated why the domestic share has increased.
The changes come as central banks continue to strengthen their gold holdings. According to the World Gold Council’s 2025 central bank survey, 44% of central banks actively managed their gold reserves during 2025, compared with 37% in 2024. The proportion of central banks holding at least some gold domestically also increased from 41% to 59%.
Central bank demand for gold has risen substantially in recent years. Over the past four years, central banks have added an average of around 1,000 tonnes of gold annually, roughly twice the average of about 500 tonnes recorded during the preceding decade.
The decision over where to store gold involves a balance between security, control, cost and market access. Domestic storage gives a central bank direct custody and greater control over its reserves, but requires investment in secure vaults, insurance, audits and related infrastructure.
Holding gold overseas can provide easier access to established trading and settlement systems. Major financial centres can allow central banks to trade or mobilise their holdings more efficiently, although foreign storage also means relying on external custody arrangements.
The sharp rise in gold prices has added further importance to reserve management. Gold crossed $5,000 per ounce in January 2026 and reached an inflation-adjusted high of around $5,394 per ounce in February. Although prices declined to approximately $4,046 per ounce by July, they remained elevated compared with many historical levels. Goldman Sachs analysts have estimated that gold could reach around $4,900 per troy ounce by the end of 2026.
Geopolitical tensions, wars and trade disputes are also influencing reserve-management decisions, although they are not considered the only or primary drivers. Inflation, interest rates and the ability to quickly trade gold remain important considerations for central banks.
Recent moves show that there is no single global strategy for gold storage. The Netherlands is increasing its holdings in London, France has moved certain holdings from New York to Europe, Germany has previously repatriated some gold to Frankfurt, while India now keeps a large proportion of its reserves domestically.
Overall, central banks appear to be focusing not only on accumulating gold but also on improving the security, accessibility, cost efficiency and strategic usefulness of their existing reserves.
