According to recent Bloomberg calculations and reports from the Central Bank of Russia (CBR), the valuation of the Kremlin’s bullion has reached an all-time high of $326.5 billion. Remarkably, this growth was driven almost entirely by a historic rally in global gold prices rather than new physical purchases.
A Record-Breaking Rally (2025–2026)
While the central bank has largely refrained from major sales or purchases since 2022, the market value of its existing 2,330 tonnes has skyrocketed:
- 2025 Performance: Gold prices surged by 65% in 2025, marking the metal’s strongest annual performance since 1979.
- 2026 Momentum: In the first three weeks of 2026 alone, gold has risen another 8%, surpassing the $4,800 per ounce mark due to geopolitical tensions in the Arctic and economic uncertainty in Japan.
- Portfolio Shift: Gold now accounts for 43.3% of Russia’s total international reserves, up from just 21.5% at the start of the “special military operation.”
Replacing the “Frozen” Billions
The $216 billion gain provides the Russian economy with a critical layer of financial flexibility that Western policymakers did not anticipate.
| Category | Value (Approx.) | Status |
| Frozen Assets in EU | $244 Billion | Blocked / Immobilized |
| Gold Value Gain (Since Feb ’22) | $216 Billion | Liquid / Monetizable |
| Total Gold Reserves | $326.5 Billion | All-time High |
| Total International Reserves | $755 Billion | Record High |
The Monetization Challenge
Despite the massive paper gains, Russia faces significant “liquidity friction” when trying to use this gold:
- Market Exclusion: Russian bullion is barred from the London Bullion Market Association (LBMA), the world’s largest trading hub.
- Asian Discounts: Large-scale sales to Asian markets (China and India) often require Russia to offer a discount, as it competes with newly mined gold from its own sanctioned producers.
- Domestic Drain: While the Central Bank’s reserves are growing in value, the National Wealth Fund (NWF) has reportedly liquidated nearly 71% of its physical gold volume since 2022 to fund the budget deficit and military expenditures.
Conclusion: A Hedge Against “Financial Warfare”
The surge to $326.5 billion in gold value suggests that Russia has successfully used the precious metal as a “geopolitical insurance policy.” For the Kremlin, the rally toward $5,000 per ounce isn’t just a market trend—it’s a structural replacement for the foreign currency and securities it lost to Western sanctions. As long as gold continues its bull run, Russia’s “war chest” remains robust enough to withstand prolonged economic isolation.
