Russia Increases Gold Reserves to an All-Time High
💰 Boom Times for Russia 💼
Russia's capital reserves are soaring, hitting a staggering new record of $687.3 billion, as reported by the Russian Central Bank. That's an impressive $7.1 billion increment from the previous week, marking a 1.0% surge.
Delving into the finer details, the regulator's statement explains that this growth is primarily due to positive revaluation. Even amid the ongoing geopolitical turmoil, Russia's reserves keep rolling in.
It's important to mention that since the beginning of Russia's special military operation in Ukraine, a significant chunk of its assets, approximately $300 billion, has been frozen by Western countries. Believe it or not, the Central Bank still includes these reserves in its statistics.
💭 A Quick Glance at the Past 🕰️
While the current status of Russia's unfrozen assets remains unclear, it's worth noting that as of April 25, 2025, Russia's international reserves stood at $677.8 billion, marking a $3.5 billion drop from the previous week.
Before the sanctions made landfall, Russia's reserves ranked among the world's largest. But alas, those golden days are behind us, with ongoing sanctions limiting their use significantly.
By April 1, 2025, Russia's reserves clocked in at $647.4 billion. Fast-forward to the beginning of May, and they updated their reserves balance to an impressive $680.3 billion. Despite these fluctuations, the reserves remain partially frozen due to ongoing sanctions.
In light of the current geopolitical tensions, the banking-and-insurance sector in Russia might witness fluctuations due to the substantial freeze on $300 billion worth of assets. Specifically, the finance industry could observe restricted maneuverability as a result of the Western countries' sanctions on Russia's reserves.
