Press release |
Bangkok, 11 February 2025 |
World Gold Council Report: Thailand Ranks 7th Globally in Gold Bar and Coin Demand for 2024
Global gold demand hits new high at 4,974t as prices soared in 2024
The World Gold Council’s Q4 and Full Year 2024 Gold Demand Trends report reveals that total annual global gold demand (including OTC[1]) hit a new, record high of 4,974t. Thailand emerged as a resilient market in 2024, ranking No.7 in the world for gold bar and coin demand at 39.8 tonnes, representing a robust increase of 17% y/y. According to WGC, the global gold demand in 2024 was driven by strong, sustained central bank buying and growth in investment demand. The combination of record high gold prices and volumes resulted in the highest ever total value of demand at $382bn.
Central banks continued to buy gold at an eyewatering pace in 2024, with purchases exceeding 1,000t for the third year in a row. Buying ramped up significantly in Q4, reaching 333t and bringing the annual total for central banks to 1,045t.
Global investment demand increased 25% y/y to 1,180t – a four-year high – driven by a revival in gold ETF demand in the second half of 2024. Global gold ETFs added 19t in Q4 2024, marking two consecutive quarters of inflows for the asset class. Bar and coin demand stayed largely in line with 2023 volumes at 1,186t in 2024. In Thailand bar and coin demand in Q4 totalled 14.6 tonnes, marking a 20% y/y increase, bringing the total for FY2024 to 39.8 tonnes.
Unsurprisingly, high prices dampened demand in the jewellery sector, with global annual consumption decreasing by 11% to 1,877t. However, Thailand remained resilient with only a 2% decrease with total annual jewellery demand reaching 9.0 tonnes. The global decline was driven largely by weakness in China (down 24% y/y), though Indian demand remained resilient as well, dropping just 2% in 2024, in a record high price environment.
Mr. Shaokai Fan, Head of Asia-Pacific (ex-China) & Global Head of Central Banks at the World Gold Council commented:
“High prices throughout 2024 posed a significant challenge to consumers across ASEAN markets. However, Thailand was more resilient, experiencing only a modest y/y decline of 2% for 2024 in gold jewellery consumption, compared to a global decline of 11%. We believe this is partly due to a robust domestic economy, buoyed by healthy tourist arrivals, which helped limit the decline.
Last year was particularly strong for Thailand’s gold bar and coin investment demand, as the country ranked No. 7 globally. Thai people view gold as a strategic asset that provides long-term returns and serves as a hedge against uncertainties in the domestic economy and equity markets. The continued growth of digital gold bullion savings platforms has also contributed to this strength in demand.”
The technology sector saw its strongest quarter since Q4 2021, with demand reaching 84t. A modest rise in gold volumes used in artificial intelligence (AI) and electronics contributed to a 7% y/y increase, netting at 326t.
Total gold supply increased 1% y/y, reaching a new record high of 4,794t. Growth in both mine production and recycling contributed to the increase in total gold supply.
Louise Street, Senior Markets Analyst at the World Gold Council, commented:
“Gold once again dominated headlines in 2024, with prices reaching 40 record highs last year. Yet, the demand trajectory of 2024 was far from linear, with central banks posting strong demand in Q1 before moderating through the middle of the year and finishing with a strong Q4. Likewise, the second half of the year saw a notable resurgence from Western investors which, combined with remarkable growth in Asian flows, brought global gold ETF flows into positive territory in the third and fourth quarters. This was fuelled by the start of rate cutting cycles by many central banks and heightened global uncertainties, including the US presidential election and escalating tensions in the Middle East.
“In 2025, we expect central banks to remain in the driving seat and gold ETF investors to join the fray, especially if we see lower, albeit volatile interest rates. On the other hand, jewellery weakness will likely continue as high gold prices and soft economic growth squeeze consumer spending power. Geopolitical and macroeconomic uncertainty should be prevalent themes this year, supporting demand for gold as a store of wealth and hedge against risk.”
The Gold Demand Trends Q4 and full year 2024 report, which includes comprehensive data provided by Metals Focus, can be viewed here.
– END –
For further information please contact:
Maetavarin Maneekulpan, TQPR Thailand, T:02 260 5820 E: mae@tqpr.com
World Gold Council
We are a membership organisation that champions the role gold plays as a strategic asset, shaping the future of a responsible and accessible gold supply chain. Our team of experts builds understanding of the use case and possibilities of gold through trusted research, analysis, commentary, and insights. We drive industry progress, shaping policy and setting the standards for a perpetual and sustainable gold market.
You can follow the World Gold Council on X (Twitter) at @goldcouncil and LinkedIn.
- Total gold demand refers to the total of jewellery fabrication, technology fabrication, investment, net purchases by central banks, and over-the-counter (OTC) transactions (also referred to as ‘off exchange’ trading) that take place directly between two parties, unlike exchange trading which is conducted via an exchange. ↑