russia Is Selling off Its Gold: Reserves Have Fallen to Their Lowest Since the Start of the Full-Scale Invasion

russia’s gold reserves have declined by approximately 15 tons in 2026 – to 2,311 tons as of early March, compared to 2,326 tons in January. This is the lowest level since March 2022, reflecting the relentless depletion of one of the country’s key financial buffers.

The central bank of the rf first resorted to selling gold to domestic market participants in November 2025 – a move the regulator had previously avoided in principle, limiting itself to accumulating the metal. Since then, sales have continued, and their scale has been growing.

The mechanism being used highlights the depth of the sanction restrictions. The central bank of the rf exchanges gold for yuan, while commercial banks, which are subject to less stringent restrictions, sell the metal on foreign markets, retaining the proceeds to support their own liquidity.

The total volume of the rf’s international reserves fell in February from $833.6 billion to $809.3 billion. However, the real picture is much worse: about $300 billion of this amount consists of frozen assets that are inaccessible for use. At this, gold accounts for nearly 47% of the reserves, meaning it is effectively the only liquid asset remaining at the kremlin’s disposal.

The pressure on reserves stems from several factors simultaneously: the need to cover the budget deficit, the inability to access reserve currencies due to sanctions, and the desire to preserve yuan liquidity for currency interventions. All of this is happening against the background of an opposite global trend – most of the world’s central banks continue to build up gold reserves as a tool for diversification and protection against dollar dependence.

This dynamic reveals the structural vulnerability of the russian financial system. Gold has become a short-term liquidity substitute rather than a strategic reserve. In parallel, dependence on the yuan and China’s financial infrastructure is growing – a dependence that Beijing hardly   views as a burden.