Colombia bought gold for the first time since 1998

Colombia bought gold for the first time since 1998

Colombia joined the list of gold-buying countries in July 2011 for the first time in 13 years, along with Russia, which has been accumulating its gold reserves for some time to diversify its foreign exchange reserves.

The International Monetary Fund (IMF) has released gold data for July, showing that Russia ranks eighth on the list of official countries with gold. In July 2011, Russia’s gold reserve increased by 4.42 tons and is now 841,131 tons. Colombia also bought 2.3 tonnes of gold in July, increasing its gold reserves to 9.14 tonnes – this is Colombia’s first purchase of gold since March 1998

Since early 2011, the price of gold has risen by almost 30%. This was facilitated by a weakening dollar and a loss of confidence in the soundness of the global economy, as well as gold purchases from central banks, especially in developing countries.

“Not all banks are new to buying gold, but the fact that central banks buy gold is a clear sign of what is happening, meaning they want to diversify their foreign exchange reserves and gold is a profitable investment at the same time. time, “said Michael Lewis, an analyst at Deutsche Bank, and added:” The weakened position of the dollar forces people to look for an alternative and find it in gold. ”

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