Global gold demand breaks 5000-tonne barrier for first time in 2025

Global gold demand surged past 5,000 tonnes for the first time ever in 2025, driven by unprecedented investment inflows and sustained purchases by central banks, according to a new report.

The World Gold Council’s (WGC) Gold Demand Trends report reveals total demand, including over-the-counter transactions, exceeded the historic threshold as buyers responded to geopolitical tensions, falling real interest rates, and market uncertainty.

This surge, combined with a relentless price rally, pushed the total value of global gold demand to a record $555 billion—a 45% year-on-year increase. The LBMA PM gold price set 53 new all-time highs during the year, with the average fourth-quarter price reaching $4,135 per ounce.

Investment demand was the dominant driver. Global gold exchange-traded funds saw net inflows of 801 tonnes, the second-strongest annual increase on record. Simultaneously, bar and coin demand rose to a 12-year high as retail and institutional investors sought safe-haven assets.

Central banks remained a critical pillar of support, adding 863 tonnes to official reserves in 2025. While slightly below the extraordinary peaks of the previous three years, this level of buying is historically elevated. The National Bank of Poland was the largest buyer for a second consecutive year, adding 102 tonnes.

On the supply side, the response to record prices was muted. Total supply grew only 1% to 5,002 tonnes, with mine production inching up to an estimated 3,672 tonnes and recycling increasing by just 3%.

Industry leaders highlighted a fundamental shift in how gold is perceived. “We forgot that it’s a currency, and it is a currency,” said Randy Smallwood, CEO of Wheaton Precious Metals, emphasizing that gold is increasingly seen as a strategic monetary asset rather than a cyclical commodity.

The WGC expects the key drivers behind 2025’s record demand—including economic uncertainty and strategic portfolio diversification—to persist in the near future.