Italy is demanding its gold back – and the real reason is explosive
Italy is pushing for state control of its 300 billion gold reserves – a conflict with the central bank is escalating.
According to a Reuters report from November 27, the Italian government is pushing ahead with a draft law that would grant the state formal ownership of the country’s entire gold reserves. With over 2,452 tons, Italy possesses the world’s fourth-largest gold holdings, whose market value is estimated at around €300 billion.
These reserves are currently held by the Bank of Italy, an institutionally independent central bank within the Eurosystem. The government argues that gold is a “strategic asset” that the state needs to have access to in the event of a financial or geopolitical crisis. The central bank rejects this proposal, citing its independence and pointing out that political interference could damage the credibility of its monetary policy.
The dispute is explosive because it reveals a fundamental tension: Who actually owns the state’s gold – the central bank or the sovereign state?
Why Italy wants its gold back
The government’s motives go far beyond symbolic politics. Several strategic factors play a role:
- Central bank independence prevents government intervention
While the gold reserves are listed on Italy’s balance sheet, the government cannot freely dispose of them. The Bank of Italy is accountable to the European Central Bank (ECB), not the government. In a systemic crisis – such as a new euro crisis – Rome would have virtually no direct access to the holdings. A law explicitly defining the state as the owner would eliminate this risk.
- Safeguards for a possible currency reform
Economists have been openly discussing a possible restructuring of the European monetary system for years. Italy has one of the highest debt-to-GDP ratios in the EU. Should a currency reform or a fragmentation of the Eurozone occur, gold would be the only reliable backing for a national or parallel currency. Without direct government intervention, Italy would be paralyzed.
- International debate on a revaluation of gold
In the United States – including former government advisors and think tanks – there is increasing discussion about a possible revaluation of gold to stabilize the heavily indebted financial system. Such a revaluation could suddenly increase the value of Italy’s reserves many times over. For Rome, it would pose a significant risk if these assets were not clearly under state control.
- Prevention of a possible pooling of gold reserves
For years, discussions have been circulating in Brussels about using EU-wide state assets – including gold – as collateral for joint debt instruments. Programs like the recovery fund have shown how quickly liability structures can shift. Italy wants to prevent its gold reserves from later being used as EU collateral by establishing clear ownership rights.
- Global geopolitical development
While the US, China, and Russia are increasing their gold reserves or using them strategically, it would be dangerous for Italy if its only real economic asset were under supranational control. Gold is once again seen as a geopolitical instrument of power. The Italian government does not want to become the only major gold holder with virtually no access to it.
What this situation reveals – and what it means
The Reuters report clearly shows: This is not about selling gold. It’s about ownership, power, and sovereignty.
Brussels’ silence on this issue is remarkable. Interfering with the ownership structure of national gold reserves directly affects the architecture of the Eurosystem. The conflict between Rome and the Bank of Italy could set a precedent that encourages other EU member states to take similar steps.
The dispute is therefore not only a domestic political issue, but also a geopolitical warning shot: National governments are beginning to prepare for possible structural disruptions in the global financial system.
Conclusion
Italy’s actions are not an isolated political move, but part of a larger strategic trend. States are securing their real assets while debt levels mount, geopolitical tensions escalate, and the future of the Eurosystem remains uncertain. The Italian government has recognized that, in a crisis, gold is not merely a financial asset, but a matter of national capability.
Whoever controls the gold ultimately decides the future of the currency – and the sovereignty of the state.
yogaesoteric
December 3, 2025