- Russia's Central Bank ready to buy up gold from State Depository
- International Monetary Fund to sell one-eighth of gold reserves
- Russia's broad monetary base up 4.6% in October - Central Bank
Russia's Central Bank said on Thursday it is ready to buy 30 metric tons (965,000 troy ounces) of gold at market prices from the country's precious metals depositary Gokhran by the end of the year.
Central Bank First Deputy Chairman Alexei Ulyukayev said the means of payment for the gold will depend on the requirements of the Finance Ministry, and will probably be denominated in rubles.
Ulyukayev played down fears that the timing of the purchase could prove unfavorable given the current high price of gold, currently over $1,000 per troy ounce on global markets.
"They are at the peak levels relative to the previous period, but predictions of price dynamics vary," he said.
The Central Bank's announcement to buy up gold comes amid increasing international assets held by the bank, which grew by $7.8 billion in the week of November 6-13 to $441.7 billion. The cash paid for the gold will be used by the Finance Ministry to cover next year's state budget deficit, predicted at 6.8% of GDP.
This year Russia is running a deficit of 7.7% of GDP.
MOSCOW, November 19 (RIA Novosti)
Add to blog
You may place this material on your blog by copying the link.
Image Galleries: Oscar de la Renta Creative Genius in Pictures
Infographics: Nobel Peace Prize
During the 11th Annual Meeting to be held in Sochi from October 22 to 24, experts of the Valdai International Discussion Club will focus on whether the global community will develop ground rules for the world politics or whether it will be a game without any rules where everyone fend for themselves.