As global economic instability and mounting currency volatility drive nations to seek safer financial strategies, central banks across Africa are ramping up their gold acquisitions—positioning the precious metal as a cornerstone of monetary stability and resilience.
With its unmatched ability to provide security, liquidity, and consistent returns, gold has become a strategic asset for countries aiming to diversify their reserves and shield their economies from external financial shocks.
Its value continues to soar, making it an increasingly vital part of central bank portfolios worldwide.
In April 2024, gold prices reached an all-time high of $3,500 per ounce, fueled by a worldwide rush for safe-haven assets amid escalating geopolitical tensions in the United States, Eastern Europe, and the Middle East.
Global central banks now collectively hold approximately 36,000 metric tonnes of gold—edging closer to the historic 38,000-tonne record last seen six decades ago.
Within Africa, Algeria leads the continent in gold holdings, with 173.56 tonnes securely stored in its national reserves.
Libya follows closely with 146.65 tonnes, while Egypt holds 128 tonnes.
These North African nations dominate the continental rankings, reflecting their longstanding emphasis on gold as a pillar of monetary policy.
In Sub-Saharan Africa, Ghana stands out with 31.01 tonnes of gold, bolstered by its robust mining industry, which plays a pivotal role in both production and export capacity.
The trend is no longer confined to larger economies.
Countries with more modest financial frameworks, such as Kenya and Tunisia, are now investing in gold as part of broader reserve diversification strategies.
Although their reserves are comparatively smaller, the move signals a growing continental consensus on gold’s enduring value in uncertain times.
The shift underscores a broader realignment in global reserve management, as African nations—mirroring the strategies of economic giants like China and India—seek to assert monetary independence and reduce reliance on foreign currencies.
As the international financial landscape continues to evolve, gold’s role as a stabilising force in African economies looks set to expand even further.
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