The Bank of Korea (BOK) has announced it will resume purchasing physical gold from domestic producers, marking its first entry into the physical market in 13 years.
The central bank confirmed on Monday that it will conduct these transactions over-the-counter to diversify its supply sources and increase its overall holdings of the precious metal.
The decision comes as gold prices have remained elevated, with futures recently reclaiming the $4,200 level, signaling sustained institutional interest in the metal.
This move represents a significant shift in reserve management strategy for Seoul, moving beyond traditional foreign exchange reserves to bolster its position in hard assets.
According to Channel News Asia, the initiative is designed to secure a more stable supply chain while aligning with broader global trends of central bank accumulation.
The decision comes as gold prices have remained elevated, with futures recently reclaiming the $4,200 level, signaling sustained institutional interest in the metal.
By sourcing directly from local producers, the BOK aims to reduce reliance on international markets and mitigate potential supply disruptions.