Goldman Sachs Estimates China Underreports Gold Purchases

Financial analysts at Goldman Sachs estimate that the Government of China is purchasing approximately twice as much gold as it officially reports. The bank identified a significant gap between official reserve data and actual acquisitions by tracking gold movements through the London over-the-counter market into domestic vaults and third-party custodians.

This trend indicates that Beijing is building its gold reserves more aggressively than public figures suggest. Supporting this finding, the Bank of England recorded a 63-tonne increase in gold held for foreign central banks during July, which suggests further unreported buying activity.

Goldman Sachs maintains a gold price forecast of $4,900 an ounce by the end of 2026. The bank notes that this unreported central bank demand may provide stronger physical support for the gold market than previously recognized.