Russia’s central bank has sold 21.8 tonnes or 22,000 kilograms of gold in 2026 to help fund the country’s widening budget deficit, which reached $61.2 billion by the end of March, according to a Kitco report. Domestic demand for gold has surged as the economy faces strain amid the ongoing war with Ukraine.
Data from the Moscow Exchange indicated that gold trading volumes in March increased over 350% year-on-year to 42.6 tonnes. In value terms, volumes rose 500% from a year ago to 534.4 billion rubles, or $7.1 billion, driven by a weakening ruble.
Despite selling gold, the overall value of Russia’s gold reserves rose 23% in January to $402.7 billion, supported by record-high prices. Russia remains the world’s second-largest gold producer, with annual output exceeding 300 tonnes.
