There is always a stir regarding gold prices in the global market, but recently a figure has emerged which has completely surprised economists and investors. Türkiye, which is struggling with its domestic economic challenges, has suddenly become the world’s largest seller of gold. Within just two weeks, the Central Bank of Türkiye has sold 58 tons of gold. The total value of this sold gold is being estimated at more than 8 billion dollars. This is not a normal economic phenomenon. The sudden sale of such a large quantity of gold has had a direct impact on the prices of gold in the international market.
Sale of 58 tons of gold within 14 days
According to the Economic Times report, 6 tonnes of gold was sold in the week ending March 13 and 52.4 tonnes in the week ending March 20. After this huge deal, Türkiye’s total gold reserves have come down to about 513 tonnes. This is the biggest decline in the last seven years.
More than half of this sold gold has been used to borrow US dollars through foreign swap deals. The remaining gold was directly released into the open market. The sale was so huge that it even surpassed the total outflow of 43 tonnes from gold-backed ETFs globally. Thus, in these 14 days, Türkiye became the largest center of gold sales in the world.
The struggle to avoid uncontrolled inflation
The main reason behind this unprecedented step is Türkiye’s own deteriorating economy. Türkiye’s national currency, Lira, is currently under severe pressure. Since the start of the war in West Asia, the cost of energy imports has skyrocketed and the demand for US dollars has increased significantly in the market. In such a situation, keeping the lira stable has become a big challenge for the central bank.
To control inflation and maintain liquidity in the market, Turkey had to resort to its foreign exchange reserves. According to the report of The Kobeisi Letter, Türkiye’s total foreign exchange reserves have fallen by about $ 40 billion to around $ 175 billion. This is the lowest level since the third quarter of 2025.
Will gold become cheaper?
This aggressive move by Türkiye has created a stir in the global bullion market. When such a large quantity of gold comes into the market simultaneously, it is natural for the prices to fall due to increase in its supply. According to reports, after these deals in London, gold prices in the spot market fell by 3.1 percent and later closed with a fall of 2.4 percent.
This is an important signal for the common investor and buyer. Analysts like Iris Sibre of Phoenix Consultancy believe that if the energy crisis continues like this, Turkey may have to take such steps further. As a common buyer, you should keep an eye on these activities in the international market, because these global decisions decide at what price you will get gold in the domestic market in the future.