Thailand tops demand for gold in ASEAN for 2nd successive quarter

This growth is mirrored on a global scale, where total gold demand rose by 5% YoY to 1,313 tonnes, marking a record third quarter, with total demand exceeding US$100 billion for the first time, largely due to robust investment amid high prices.

The Nation

The Nation

         

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Thematic photo of gold jewellery. PHOTO: THE NATION

November 1, 2024

BANGKOK – Demand amounted to 14.5 tonnes in the third quarter of 2024, according to the World Gold Council’s “Q3 2024 Gold Demand Trends” report released on Thursday.

This growth is mirrored on a global scale, where total gold demand rose by 5% YoY to 1,313 tonnes, marking a record third quarter, with total demand exceeding US$100 billion for the first time, largely due to robust investment amid high prices.

Global investment demand more than doubled YoY to 364 tonnes, largely driven by an increased appetite for gold exchange-traded funds (ETFs) from Western investors. Notably, gold ETFs saw a net addition of 95 tonnes, representing the first positive quarter since Q1 2022.

While global demand for bars and coins fell by 9%, Thailand’s demand increased by 15% YoY, reaching 12.1 tonnes in Q3, making it the second highest in the region. The year-to-date total for global bar and coin demand remains strong at 859 tonnes, compared to a 10-year average of 774 tonnes.

Shaokai Fan, head of Asia-Pacific (ex-China) and global head of central banks at the World Gold Council, explained that consumer demand in Thailand was resilient, partly fuelled by the long-awaited announcement of the digital wallet programme, which includes cash payments aimed at boosting the local economy.

“The government initiated this programme at the end of Q3, potentially supporting demand in Q4,” he noted.

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