Kazakhstan increased its gold reserves by 1.2% m/m to 225.6 tonnes in February, the IMF said in a report published on March 25. This means that Kazakhstan's central bank extended the period of building up gold reserves to 41 months in a row.
The National Bank of Kazakhstan's (NBK) reported on March 11 that its gold reserves surged by 12.21% m/m and 18.8% ytd to $8.953bn at the end of February. The IMF's data confirms that the growth was not only the result of an increase in global gold prices but also a consequence of physical gold accumulation. In January-February gold prices grew by 15.8% from $1,061 to $1,229 per ounce.
The Kazakh central bank perceives gold as a safe haven during time of uncertainty. It also pursues the policy of priority buying all gold produced in the country. Gold is gradually gaining more prominence in the Kazakh central bank's reserves portfolio. In August 2011, the share of gold in the NBK's FX/gold reserves stood at less than 10% but it reached 27% in $28bn FX/gold reserves at the end of 2015.
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