People in Poland Are Rushing to Buy Gold Amid Geopolitical Tensions: AP Report

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As a researcher with a background in economic history and cultural studies, I find the trend of Poles buying gold during times of crisis deeply intriguing. The long lines outside gold shops during the COVID-19 pandemic and Russia’s invasion of Ukraine are not just a recent phenomenon but a reflection of deep-rooted cultural beliefs and historical traumas.

When COVID-19 emerged, there was a surge in Poles queuing up at gold shops as reported by Vanessa Gera from the Associated Press (AP). This trend became even more pronounced following Russia’s invasion of Ukraine on 24 February 2022, leading to another buying frenzy for gold, based on AP’s account.

Piotr Kozik, the manager at a Warsaw gold shop that sells bars and coins from the Polish Mint, shares that the demand for gold has exceeded that of Fat Thursday donuts, according to AP’s report. Amidst the uncertainties brought about by the war and refugee influx, Poles seem to be turning to gold as a means of financial and emotional stability.

According to the Associated Press, the initial surge in gold demand has calmed down, but the interest in gold remains consistent as the war enters its third year. Furthermore, there is growing apprehension due to a refugee crisis at Poland’s border with Belarus, which Polish officials believe was orchestrated by Russia and Belarus.

Radoslaw Paklikowski, a 38-year-old entrepreneur residing in Wroclaw, initiated the purchase of gold and silver coins in the year 2021. Currently, he allocates 5% of his financial holdings towards precious metals. According to AP’s report, Paklikowski underlines the significance of possessing actual gold for securing safety during tumultuous circumstances.

The AP report further reveals that the significance of gold in Poland stems from the harrowing experiences of World War II. Families often share anecdotes about their ancestors using gold jewelry or coins as essential commodities for obtaining necessities such as food or gaining passage across borders during the German and Soviet occupations (AP report).

As a crypto investor with an interest in precious metals, I’ve noticed that the client base at the Mint of Poland, where Marta Bassani-Prusik heads the precious metals trade, includes individuals with Polish heritage or families who trace their roots back to Poland. She shares that this trend has become more prevalent during these uncertain times, as the market for gold investment saw a significant surge due to the pandemic and the ongoing war.

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2024-06-30 22:37