Central Banks Shift Focus from U.S. Dollar Amid Political Concerns

According to PANews, a recent survey by the Official Monetary and Financial Institutions Forum (OMFIF) reveals a significant shift in central banks' investment preferences due to the U.S. political environment. The survey indicates that 70% of central bank reserve managers are reluctant to invest in the U.S. dollar, a notable increase from 31% in 2024. In addition, 32% of these managers plan to increase their gold allocations within the next 12 to 24 months, marking the highest level in at least five years. This trend reflects a growing interest in diversifying reserves away from traditional currencies amid global economic uncertainties.