Russia's gold reserve holdings climbed to 703.1 tons in May, after adding another 22.5 tons between April and May, according to latest IMF data.

Russia had purchased almost a hundred tons of gold in recent months. In April alone, world's largest country purchased 27.6 tons of gold.

Meanwhile, IMF's gold holdings fell by 15.25 metric tons (490,286 ounces). Reserves of gold at the IMF were 2,951.58 tons at the end of May compared with 2,966.83 tons at the end of April.

Central banks across the globe have been adding to reserves and gold-backed exchange-traded fund assets have advanced to a record as investors sought an alternative to currencies and a protection of wealth from Europe's debt crisis.