Türkiye’s Gold Reserves: MP Warns of Seizure Risks in UK
gold
During a briefing at the Grand National Assembly of Türkiye (TBMM), AKP Deputy İsmail Güneş raised critical questions regarding the safety of national assets stored abroad. Addressing Central Bank of the Republic of Türkiye (CBRT) Governor Fatih Karahan, Güneş expressed concern that gold held in the United Kingdom could be seized during future geopolitical disputes. Drawing a historical parallel, Güneş reminded the assembly of the pre-World War I era when Britain withheld warships that Türkiye had already paid for. This warning highlights a growing debate within the Turkish government about the strategic necessity of repatriating physical assets to ensure total sovereign control over national wealth.
CBRT Governor Responds to Repatriation Demands
Governor Fatih Karahan responded to the concerns by explaining the operational necessity of keeping a portion of the Türkiye Gold Reserves 2026 in international financial hubs. He noted that maintaining gold in London allows the central bank to conduct international market transactions and location swap operations more efficiently. While Karahan did not provide a real-time figure for the current holdings in the UK during the session, official year-end reports from 2025 indicate that approximately 119.2 tons of gold are currently stored at the Bank of England. The Governor emphasized that these reserves are managed dynamically based on the liquidity needs of the Turkish economy.
Calls for Intervention Amid Rising Domestic Gold Demand
Beyond the issue of storage, Deputy Güneş also criticized current monetary trends, suggesting that the policy of stabilizing the exchange rate has inadvertently driven citizens toward gold as a primary investment. He argued that since the dollar is being kept below the inflation rate, domestic gold demand has surged, potentially impacting the country’s current account balance. Güneş urged the Central Bank to consider interventionist measures for gold prices similar to those used for foreign currency. As the gold market in Türkiye continues to heat up, the pressure on the CBRT to balance physical security with market liquidity remains a central point of contention for policymakers.
