Gold identified as an alternative to foreign currencies by Deputy Finance Minister
In a significant shift, the demand for gold ingots in Russia, particularly those in the 50-100 gram range, has surged, according to statements by Goznak and reports referencing Igor Sechin, the CEO of "Rosneft".
This rise in domestic purchases is driven by practical economic factors. Russian consumers are turning to physical gold, including bars and coins, as a strategy to preserve wealth amid economic uncertainty and international financial restrictions. In 2024, Russian retail demand hit record levels, with consumers purchasing around 75.6 tons of gold — about 25% of the country’s annual production.
Igor Sechin, a prominent Russian official, has highlighted how gold, including these ingot sizes, represents a hedge against inflation and currency volatility. The surge in demand includes gold ingots of smaller sizes due to tax advantages and banking alternatives perceived by buyers in Russia.
Goznak, the state mint of the Russian Federation, aims to sell almost a ton of gold to Russians by the end of 2025. The company's sales are growing, with a particular emphasis on the 50-100 gram ingots. Alexei Moiseev, the Deputy Minister, stated that the demand for these measured gold ingots is stable.
In addition, Moiseev noted that kilo and even standard 12kg gold ingots are also popular. He emphasized that gold is the only viable alternative to foreign currency for savings, given the economic rhetoric suggesting that foreign currency is not a reliable option for savings.
Igor Sechin, in a comparison reminiscent of historical data, reported that one ounce of gold can buy nine times more steel since 1950 and 35 times more wheat. This comparison provides insight into the commodity's demand and its value over time.
The price dynamics of gold, as reported by Igor Sechin on June 21, suggest a growing demand for the commodity. This is reflected not only in the domestic market but also in Russia’s gold exports, which have surged by about 80% in 2025 to $1 billion, reflecting strong international trade dynamics.
In summary, the domestic demand for gold ingots, including in the 50-100 gram weight range, has risen markedly in Russia by 2025, backed by practical economic factors and supported by industry and government stakeholders such as Goznak and voices like Igor Sechin. This trend is likely to continue as consumers seek safe havens for their wealth amid economic uncertainty.
The rising demand for gold ingots, notably those in the 50-100 gram range, is primarily driven by the Finance and Industry sectors in Russia, as consumers use these investments to preserve wealth amid economic turmoil and financial restrictions. In 2025, the Business sector saw a significant surge in domestic gold purchases, with approximately 75.6 tons of gold procured – almost a quarter of the country's annual production.
