Russians Have Doubled Their Investments in Gold and Silver

Precious metals have always been a preferred form of investment, serving as a safeguard in times of crisis. Changes in the economic or political situation have typically led to increased public interest in gold. This is due both to historically established preferences and to modern conditions favoring more secure, low-risk investments. The year 2025 and the first half of 2026 have been marked by certain economic and political circumstances that have heightened interest in gold as both an investment and a secure store of value.

Among these factors, first of all, is the decline in deposit rates, which has reduced the returns on this investment instrument for the public. The emerging trend toward a further reduction of the key interest rate (from 21% in January 2025 to 14.25% in June 2026) confirms a continued decrease in deposit yields. Taking into account the tax on deposit income, these returns will be even lower.

In addition, cyberattacks on commercial banks and fraud do not increase interest in this form of savings. Another traditional savings instrument was foreign currency, but after 2022 it ceased to be in demand. Real estate, which is “always valuable,” has also lost its investment appeal. Returns are declining, and liquidity is currently quite low. At the same time, there has been no significant decrease in (consumer) inflation. There is seasonal price relief, but overall the public has not yet noticed a real decline, which also encourages the formation of reliable assets. Meanwhile, gold has recently demonstrated unprecedented growth.

At the end of January 2026, gold set an absolute historical record, exceeding $5,400 per troy ounce (a troy ounce is approximately 31.1 grams). Despite some price correction at present, the long-term upward trend remains. The reasons for this outlook may include not only increased demand from the public but also growing demand from central banks and corporate investors amid an unstable geopolitical environment and de-dollarization.

In addition to gold, another precious metal whose demand depends on the above-mentioned factors is silver. Its main difference from gold is its price. Silver is much cheaper than gold, making it accessible to less affluent segments of the population. It is worth noting that silver prices have also risen significantly recently, reaching a historical maximum of $120 per ounce.

Overall, it should be noted that amid rising prices for precious metals and increased liquidity due to the opportunity to trade them on relevant markets, public demand for them is likely to continue in the near future.

Author: Doctor of Economics, Professor of the Department of World Economy and World Finance at the Financial University under the Government of the Russian Federation Elena Borisovna Starodubtseva.