Global Central Banks Shift to Gold Amid US Dollar Concerns
WHO:
CNN - The Official Monetary and Financial Institutions Forum (OMFIF) conducted the survey.
Alternet - Paul Krugman, a liberal economist, commented on the U.S. dollar's status.
WHAT:
CNN - The survey indicates that it is the first time the survey has found a desire to decrease dollar allocations overtaking the intention to increase them since it started recording central banks’ investment intentions in 2023.
CNN - Two-thirds of central banks surveyed said the euro had become more attractive for use in global trade, up from 43% last year.
CNN - Twenty-nine percent of respondents indicated a desire to increase euro holdings in the long term, up from 22% last year.
CNN - Euro-denominated international debt reached record levels in 2025.
CNN - A record share of central banks said they plan to increase investments in gold, with 51% citing protection against geopolitical risk, up 11% from 2024.
CNN - More central banks plan to cut their dollar holdings than increase them over the next decade for the first time.
CNN - The survey included responses from 74 central banks around the world.
CNN - The share of U.S. dollars in central banks’ foreign exchange reserves fell to a two-decade low last year.
CNN - A record share of central banks plan to increase investments in gold.
Alternet - Krugman stated that the U.S. dollar's supremacy has been seriously damaged by the rise of alternative payment systems.
WHERE:
CNN - The OMFIF is headquartered in London.
WHEN:
CNN - The survey was conducted between March and May.
Alternet - The Bretton Woods Agreement was established in 1944.
WHY:
CNN - The shift has been driven by protection against geopolitical risk and growing doubts about the stability of the international monetary system.
CNN - The shift away from the dollar is attributed to rising political risk associated with the U.S. currency and geopolitical risks.
CNN - The rise in geopolitical risk is driving up demand for gold.
Alternet - Krugman argues that Trump's actions during the Iran war have diminished the dollar's role as a non-military tool of coercion.
HOW:
CNN - Central banks are moving towards the euro and the renminbi for diversification.
CNN - The report noted that nearly all central banks surveyed think the renminbi provides diversification.
Alternet - Transactions involving dollar payments require transferring money between U.S. banks, making them visible to U.S. authorities.
(UPDATED June 30, 2026 19:43 UTC)
A recent survey reveals a significant shift in central banks' investment intentions, marking the first time since 2023 that the desire to decrease dollar allocations has overtaken the intention to increase them. Two-thirds of the central banks surveyed now find the euro more attractive for global trade, a notable rise from 43% last year, while 29% of respondents express a desire to boost their euro holdings in the long term, up from 22% in the previous year. Additionally, a record 51% of central banks plan to increase their investments in gold, driven by concerns over geopolitical risks and doubts about the stability of the international monetary system.
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(UPDATED June 30, 2026 17:41 UTC)
A recent survey conducted by the Official Monetary and Financial Institutions Forum reveals that more central banks plan to cut their dollar holdings than increase them over the next decade for the first time, with responses from 74 central banks worldwide. The share of U.S. dollars in these banks' foreign exchange reserves has fallen to a two-decade low, while a record number of them are looking to invest more in gold, driven by rising geopolitical risks and political uncertainties surrounding the U.S. currency. Economist Paul Krugman pointed out that the dollar's supremacy has been significantly undermined by the emergence of alternative payment systems and criticized Trump's actions during the Iran war for diminishing the dollar's role as a non-military tool of coercion.