France’s Banque de France Nets €13 Billion After Pulling Last Gold Reserves Out of the US

TLDR:

• The Banque de France earned €12.8 billion upgrading 129 tonnes of non-standard gold held at the US Federal Reserve.
• France’s full 2,437-tonne gold reserve is now stored entirely in Paris, making it the world’s fourth-largest holder.
• The BdF executed 26 transactions at record-high gold prices between July 2025 and January 2026 to maximize returns.
• Germany faces pressure to pull 1,236 tonnes from the Fed amid concerns over unpredictable US policies under Donald Trump.

The Banque de France has completed a major gold reserve overhaul, generating nearly €13 billion in capital gains. The central bank sold off its remaining US-held gold and replaced it with higher-standard bars now stored in Paris.

This move concluded a long-running effort to modernize France’s gold holdings. The transaction covered 129 tonnes of gold, or roughly 5 percent of France’s total reserves, carried out between July 2025 and January 2026.

France Completes Full Gold Repatriation to Paris

The Banque de France announced a capital gain of €12.8 billion from upgrading its gold holdings. This came after 26 separate transactions executed at record-high gold prices.

The bank sold older, non-standard bars held at the US Federal Reserve and bought compliant bullion on the European market.

France’s total gold reserves now stand at about 2,437 tonnes, all stored in Paris. This makes France the fourth-largest gold holder in the world. The move marks the end of any French gold presence in New York.

The BdF had been gradually phasing out non-standard gold since 2005. It moved most of its reserves out of the US Federal Reserve and the Bank of England between 1963 and 1966. The remaining US-held gold was the last piece of that older arrangement.

Rather than refining and transporting the existing stock, the bank found it more practical to sell and repurchase. BdF Governor François Villeroy de Galhau was clear that the decision was not politically driven.

He pointed to the practicality of purchasing higher-standard gold already traded on the European market, adding that refining and transporting the old stock would have been far more complex.

Economic Context and Germany’s Response to US-Held Reserves

The exceptional gains helped push the BdF’s net profit to €8.1 billion for 2025. This followed a net loss of €7.7 billion the previous year. The timing of the transactions, during a period of peak gold prices, worked in the bank’s favor.

Meanwhile, Germany is facing growing public pressure over its own US-held gold. The Bundesbank currently holds about 1,236 tonnes at the Federal Reserve, around 37 percent of its total.

Some German economists are calling for a withdrawal, citing concern over policy uncertainty under President Donald Trump.

Michael Jäger, head of the Association of German Taxpayers, did not hold back in his assessment. “Trump is unpredictable and he does everything to generate revenue,” he said. He added that Germany’s gold is “no longer safe in the Fed’s vaults.”

The Bundesbank has not yet announced any plan to move its reserves. However, the public debate in Germany is gaining traction. France’s completed repatriation may add further pressure on German authorities to act.

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