According to reports, the Central Bank of Kazakhstan is changing from one of the world's largest buyers of gold to a gold seller, and Ministry of Finance officials are stepping up efforts to rebalance reserve assets. In recent years, major gold purchases by central banks have driven the price of gold to rise sharply, but as the price of gold fell after reaching a record high, this round of gains was met with resistance. US 10-year Treasury yields climbed to their highest level in 24 years last week. Aliya Moldabekova, Deputy Governor of the Central Bank of Kazakhstan, said in an interview: “We haven't seen this level for a long time. This makes the dollar an attractive option, making gold less attractive as an investment asset.” She added that the Central Bank of Kazakhstan hopes to reduce the share of gold in total foreign exchange reserves by about 3 percentage points. Over the years, central banks have been steadily increasing their gold holdings. However, after the outbreak of the war in Iran earlier this year, the assumption that demand for money purchases by monetary institutions continued to be strong was challenged. The war sparked a boom in global demand for dollars to pay for more costly energy imports. According to data from the World Gold Council, Turkey and Russia were among the countries that cut their gold holdings earlier this year.

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