France withdraws entire gold reserves held in US

France withdraws gold reserve, raising questions about economic strategies amidst shifting global policies

Banque de France officially ended the presence of its gold reserves in the United States, withdrawing the last 129 tons of the precious metal deposited in the vaults of the Federal Reserve Bank in New York.

In a report published last week, the central bank stated that the withdrawn amount represents 5% of its total sovereign gold reserves, noting that the process took place between July 2025 and January 2026.

It added that the withdrawn gold was sold and subsequently replaced with new bars compliant with European specifications, generating capital gains of €12.8 billion ($14.77 billion) from the transaction.

Despite attempts by Banque de France Governor François Villeroy de Galhau to frame the move as a “portfolio modernization” aimed at saving shipping and refining costs, the timing raised significant questions in Europe amid the current US administration’s unpredictable policies.