Russia’s central bank sold approximately 300,000 troy ounces of gold from its reserves in January, capitalizing on record-high prices, according to recent data. The move underscores the country’s evolving financial strategies amid ongoing geopolitical pressures and economic adjustments.
Total Russian gold holdings decreased to 74.5 million troy ounces, marking the first decline since October, Bloomberg reported. This reduction comes as gold prices reached an all-time high last month, averaging around $4,700 per troy ounce.
Based on those prices, the sale likely generated around $1.4 billion, providing a significant influx of capital for the Russian government. The central bank’s actions are part of a broader strategy known as “mirror operations,” linked to the Finance Ministry’s sale of assets from the National Wealth Fund.
These operations are intended to offset declining revenues from oil and gas, as Russia’s budget deficit widens. During the first two months of 2025, the Finance Ministry spent approximately 419 billion rubles ($5.5 billion) from the fund through the sale of gold and foreign currencies.
Despite the decrease in volume, the overall value of Russia’s gold reserves increased by 23% in January to $402.7 billion, driven by the global price surge. This highlights how rising gold prices can significantly bolster a nation’s financial position, even with reduced holdings.
Since the start of the conflict in Ukraine in 2022, rising gold prices have provided substantial financial support to Moscow, particularly as a significant portion of its foreign currency assets remain frozen in Europe. The central bank’s strategic use of its gold reserves demonstrates a proactive approach to navigating economic challenges and maintaining financial stability.
