Reserve Bank’s gold reserves have crossed 880 metric tonnes, with total value of USD 95 billion as of September 26, 2025. It’s not just India central banks across the world added 3,16,000 kg of gold over the past year, while gold prices surged 63%. The central bank’s bulletin has highlighted that rise in international gold prices, driven by heightened global economic and geopolitical uncertainty encouraged safe haven buying.

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Sujit Bangar, founder of Tax Buddy, has warned that this trend is a warning signal – ‘A red alert that the global order may be fracturing at its core.’

Here are the 9 Warning Signs:

  1. Rapid Gold Surge: Bangar notes that Gold has always risen during crises like the 2008 financial crash, COVID-19, and trade wars, but the current pace is unprecedented.
  2. Shift from Traditional Safe-Havens: Investors are moving from dollars and US Treasuries to buying gold as the US dollar has recently seen its biggest six-month fall in 50 years, a trend Bangar says investors call the “Debasement Trade”.
  3. The Debasement trade- Loss of Faith in fiat Currency: Bangar has pointed out that falling confidence in central banks and governments is pushing investors toward gold, which carries no default risk, no policy bias, and cannot be printed.
  4. Central Banks Leading the Buying: Former sellers, countries like China, India, and Russia are now major gold buyers. For BRICS nations, this is a strategy to reduce reliance on the US dollar.
  5. Impact of 2022 Russia Sanctions: The freezing of Russia’s central-bank assets showed that dollar reserves can be weaponized, prompting a global rethink on what constitutes a “safe” reserve.
  6. Silver and Platinum Also Rising: Prices of these metals are increasing due to industrial and green-tech demand, reflecting broader market anxiety.
  7. Growing Gold Share in Reserves: Central banks have significantly increased gold in their total reserves over the past year: Russia: 29.5 → 35.8%, China: 4.9 → 6.7%, Japan: 5.1 → 6.8%, India: 9.6 → 13.1%, UK: 13.5 → 16.6%
  8. Political and Economic Factors: Bangar also pointed out the pressure on the US Fed, and how low yields, tariffs, and inflation are increasing gold’s appeal as a hedge, creating a “heads I win, tails you lose” scenario for the metal.
  9. Trust and Stability: Gold represents trust without a signature, at a time when trade conflicts, sanctions, and tariff wars are weakening the dollar’s role as the anchor of global finance.
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Concluding the post, Bangar noted that this is not about greed, but about fear, faith, and fragility. “Every Tone bought is a vote against uncertainty. And until trust returns to currencies, gold will keep shining,” he said.