The World Gold Council said in early February 2025 that global gold demand, including over-the-counter transactions, reached a record 4,974 tonnes in 2024. With gold prices hitting 40 record highs during the year, the total value of demand also climbed to $382 billion, underscoring strong appetite for gold as both a store of value and a hedge in an uncertain macro environment.
Central banks remained the main pillar of demand
According to the report, central banks continued to play a leading role in the market. Official sector purchases exceeded 1,000 tonnes in 2024, marking the third straight year above that level, with buying accelerating in the fourth quarter. The council expects central banks to remain a major driver of gold demand in 2025 as well.
Investment demand rebounded as ETF flows improved
Investor activity also strengthened notably last year. Global gold investment demand rose 25% year over year to 1,180 tonnes. A recovery in gold-backed ETFs contributed to that trend, with the sector posting net inflows for two consecutive quarters. Demand for bars and coins held steady at 1,186 tonnes, roughly unchanged from 2023, suggesting resilient retail interest despite elevated prices.
High prices weighed on jewelry, especially in China
The strong price environment, however, hurt jewelry consumption. Global jewelry demand fell 11% to 1,877 tonnes in 2024. The decline was most severe in China, where demand dropped 24% year over year. India proved more resilient, with jewelry demand slipping only 2% despite record-high prices.
Technology demand showed better momentum. Gold use in the technology sector reached 84 tonnes in the fourth quarter, the strongest quarterly reading since late 2021. For the full year, technology-related demand increased 7% to 326 tonnes, supported in part by rising use in artificial intelligence and electronics.
On the supply side, total gold supply rose 1% from a year earlier to a record 4,794 tonnes, helped by stronger mine output and recycling activity. Looking ahead, WGC senior markets analyst Louise Street said central banks should remain “in the driving seat” in 2025, while gold ETF investors could play a larger role if interest rates move lower. At the same time, high prices and soft economic growth may continue to pressure jewelry demand, while geopolitical and macroeconomic uncertainty could keep supporting gold’s appeal as a defensive asset.