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Gold Boom: Central Banks And Investors Drive Record Demand In 2024

by THEFUTURE.TEAM

February 5, 2025

Global gold demand soared to an all-time high in 2024, driven by aggressive central bank purchases and a surge in investment interest, according to the World Gold Council’s annual report.

Key Figures

Nearly 5,000 tonnes of gold were traded last year, surpassing the 4,899 tonnes recorded in 2023, including over-the-counter (OTC) investments.
Central banks continued their buying spree, surpassing 1,000 tonnes of purchases for the third consecutive year.
The National Bank of Poland emerged as the top buyer, adding 90 tonnes to its reserves, followed by Turkey (75 tonnes) and India, which made steady purchases throughout the year.

What’s Next?

Gold prices shattered 40 all-time highs last year and continue to rise in 2025. Futures on the New York Mercantile Exchange (NYMEX) climbed to $2,875.8 per ounce this week, according to FactSet.

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With rate cuts expected, the opportunity cost of holding gold is likely to decrease, keeping investment demand stable.

Investment Surge

Total gold investment jumped 25% to a four-year high of 1,180 tonnes, primarily fueled by ETFs.
Demand for gold bars and coins remained steady, with robust purchases in China and India.
India’s gold demand spiked following a government reduction in import duties from 15% to 6% in July.
Across ASEAN nations, including Singapore, Indonesia, Malaysia, and Thailand, investment demand saw double-digit growth.
Wealthy investors continued to hedge risks through OTC gold investments, which operate outside traditional exchanges.

Jewelry Market Struggles

Despite the bullish investment climate, gold jewelry demand fell 11% year-on-year, making it the only segment to decline. High gold prices and sluggish economic growth are expected to keep demand weak in 2025, according to analysts.

While central banks and investors drive record-breaking gold purchases, consumer markets remain under pressure, setting the stage for another year of market shifts in 2025.

Crete-Cyprus Interconnection Project Faces Financial And Regulatory Headwinds

by THEFUTURE.TEAM

June 17, 2025

Construction Milestone And Financial Pressures

The Crete-Cyprus electricity interconnection project is advancing steadily—at least until August. Nexans, the French cable contractor overseeing the work, has confirmed that construction will continue through this period. However, the post-August phase remains shrouded in uncertainty as financial and regulatory challenges intensify.

Regulatory Dynamics And Payment Discrepancies

Greece’s Independent Power Transmission Operator (Admie) now bears the burden of sustaining the project. Pressure has mounted for Admie to secure cost recovery from both Greek and Cypriot regulatory authorities. While the Greek regulator is moving forward with approving the recovery of operating expenses, Cypriot authorities remain reticent, insisting on clearer assurances regarding the project’s completion before releasing payments.

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Geopolitical Implications And Regional Concerns

The hesitancy in Nicosia reflects broader geopolitical concerns and skepticism over Admie’s financial strategy. Complicating matters are the significant loan commitments by Admie and Turkey’s longstanding objections, which have already delayed the project by more than a year. In parallel, the EU Energy Ministers’ recent conclusions underscore the need to protect Projects of Common Interest, particularly subsea interconnections, from external interference.

Immediate Outlook And Future Risks

Admie has invested approximately €250 million in the project so far, yet the funding origins—whether equity, European grants, or other sources—remain unclear. If the project ultimately fails, Admie faces the daunting prospect of returning €658 million in EU funds. With decisive regulatory decisions expected this week, the project’s future is hinged on synchronized financial backing from both sides. Without immediate intervention, the stability provided by Nexans’ commitment to continue work until August may soon prove insufficient.

In an environment where banks demand evidence of income recovery and active payments, the project’s reliance on timely regulatory approvals is more critical than ever. The coming days will reveal whether this high-stakes interconnector can overcome financial and political obstacles to secure a stable future for energy security in the region.