For the seventh year in a row China is the world’s largest producer of gold with annual production topping 428 tonnes. China’s consumption figures also continue to climb with jewellery sales reaching 400 billion Yuan in 2013. China also has the second largest gold reserves and is set to become the leading centre for gold.
Although China’s appetite for gold remains robust their official Central Bank reserves stand at 1,054 tonnes which only accounts for only 1.1% of their foreign reserves. In Germany and the U.S. gold currently represents over 65% of their countries foreign reserves.