Gold demand in Türkiye: Top 10 cities investing the most in gold
File photo shows stacked gold bars. (AFP Photo)
November 24, 2024 12:59 PM GMT+03:00
Amid record-high gold prices fueled by geopolitical tensions and economic uncertainties, gold has once again emerged as the preferred investment for many in Türkiye.
According to data from the Banking Regulation and Supervision Agency (BDDK), Türkiye's top three cities—Istanbul, Ankara, and Izmir—account for over 50% of the nation's gold deposits, with a combined value of ?668 billion ($19.33 billion).
Record gold prices drive investment
In 2024, gold demand surged as wars, economic instability, and geopolitical tensions drove prices to record levels. While brief declines followed the U.S. presidential election, rising tensions in the Russia-Ukraine conflict pushed gold prices back to historic highs, reaffirming its status as a "safe haven" asset.
(COMBO) This combination of pictures created on November 07, 2024 shows US Vice President Kamala Harris (L) speaks at Howard University in Washington, DC, on November 6, 2024, and former US President and Republican presidential candidate Donald Trump waves at supporters at the end of a campaign rally at PPG Paints Arena in Pittsburgh, Pennsylvania on November 4, 2024. - Donald Trump's crushing presidential victory heralded a new era of uncertainty in the United States and the world November 6, 2024, as defeated Kamala Harris gave a defiant concession speech while vowing to help his transition to power. An emotional Vice President Harris told tearful supporters in a speech in Washington to "not despair," urging them to "keep fighting" after her loss. Her pledge to ensure a peaceful handover stood in stark contrast with Republican Trump's unprecedented refusal four years ago to admit defeat against Joe Biden, culminating in the violent attack by his supporters on the US Capitol. (Photo by SAUL LOEB and CHARLY TRIBALLEAU / AFP)A man and a woman walk past a screen showing Chinese stock market movements in Beijing on November 7, 2024, after US Republican Donald Trump won the US presidential election, US media announced on November 6, beating Democrat Kamala Harris to complete a stunning political comeback. (Photo by WANG Zhao / AFP)This combination of pictures shows Former US President and Republican presidential candidate Donald Trump (L) looks on during a campaign rally at PPG Paints Arena in Pittsburgh, Pennsylvania on November 4, 2024, and Russian President Vladimir Putin (R) decorates Indian Prime Minister Narendra Modi with the Order of St. Andrew the Apostle the First-Called during a ceremony following their talks at the Kremlin in Moscow on July 9, 2024. (AFP Photo)A man looks at a screen showing Chinese stock market movements in Beijing on November 7, 2024, after US Republican Donald Trump won the US presidential election, US media announced on November 6, beating Democrat Kamala Harris to complete a stunning political comeback. (Photo by WANG Zhao / AFP)
Top 10 provinces leading in gold investment in Türkiye
BDDK data reveals the provinces with the highest gold deposits in Türkiye. The top three—Istanbul, Ankara, and Izmir—are followed by regions such as Bursa and Antalya. Here are the top 10 provinces and their respective gold deposit values:
- Istanbul: ?439.79 billion ($12.7B)
- Ankara: ?149 billion ($4.31B)
- Izmir: ?78.98 billion ($2.28B)
- Bursa: ?43.64 billion ($1.26B)
- Antalya: ?42.85 billion ($1.24B)
- Kocaeli: ?34.73 billion ($1.005B)
- Konya: ?29.50 billion ($853.7M)
- Adana: ?22.40 billion ($648.2M)
- Balikesir: ?20.74 billion ($600.2M)
- Mugla: ?20.50 billion ($593.3M)
Note: Numbers are based on TRY/USD exchange rate data as of November 24, 2024
Stacked gold bars (AFP Photo)
Provinces with the lowest gold investment
Conversely, smaller provinces in Türkiye, particularly in the east, show the lowest levels of bank-registered gold deposits. The 10 provinces with the least gold investment include:
- Ardahan: ?536 million ($15.5M)
- Kilis: ?657 million ($19.01M)
- Bayburt: ?698 million ($20.2M)
- Tunceli: ?771 million ($22.3M)
- Hakkari: ?808 million ($23.3M)
- Igdir: ?1.04 billion ($30.0M)
- Sirnak: ?1.10 billion ($31.8M)
- Mus: ?1.17 billion ($33.8M)
- Siirt: ?1.29 billion ($37.3M)
- Agri: ?1.42 billion ($41M)
Note: Numbers are based on TRY/USD exchange rate data as of November 24, 2024
Gold bars from the vault of a bank are seen in this illustration picture taken in Zurich November 20, 2014. (Reuters Photo)
Unaccounted wealth: 'Gold under mattresses'
While these figures reflect gold deposits in banks, the World Gold Council estimates that Turkish households hold between 4,500 and 5,000 tons of gold in private storage, often referred to as "under the mattress."
https://twitter.com/memetsimsek/status/558280653134118912
Minister of Finance, Republic of Türkiye, Mehmet Simsek's post on X
Experts suggest that this unregistered gold wealth may be significant in provinces with low reported bank deposits, particularly in eastern and southeastern Türkiye.
November 24, 2024 12:59 PM GMT+03:00
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