Customize Consent Preferences

We use cookies to help you navigate efficiently and perform certain functions. You will find detailed information about all cookies under each consent category below.

The cookies that are categorized as "Necessary" are stored on your browser as they are essential for enabling the basic functionalities of the site. ... 

Always Active

Necessary cookies are required to enable the basic features of this site, such as providing secure log-in or adjusting your consent preferences. These cookies do not store any personally identifiable data.

No cookies to display.

Functional cookies help perform certain functionalities like sharing the content of the website on social media platforms, collecting feedback, and other third-party features.

No cookies to display.

Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics such as the number of visitors, bounce rate, traffic source, etc.

No cookies to display.

Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.

No cookies to display.

Advertisement cookies are used to provide visitors with customized advertisements based on the pages you visited previously and to analyze the effectiveness of the ad campaigns.

No cookies to display.

Banner Left
Banner Right

IMF to sell 403 tons of gold worth of N$98 billion

IMF to sell 403 tons of gold worth of N$98 billion

THE International Monetary Fund (IMF) said its executive board approved the sale of 403 tons of gold worth $13 billion (N$97,5 billion), mainly aimed at boosting the institution’s capacity to lend to poor countries.

The IMF said in a statement the sales would be ‘in a volume strictly limited to 403,3 metric tons, with these sales to be conducted under modalities that safeguard against disruption of the gold market.’The IMF said the decision was a central element of a new income model for the institution that had been approved by the executive board in April 2008.The Group of 20 developed and developing countries decided at their April summit in London that the money raised by the gold sales should allow the IMF to offer favourable conditions on loans to the poorest countries.The IMF said that the sale of gold ‘will also increase the fund’s resources for lending to low-income countries,’ a strategy that won board backing in July.The amount of gold is one-eighth of the current holdings of the Washington-based IMF, one of the world’s biggest holders of the precious metal.’I am delighted that the executive board has given its overwhelming backing to a strictly limited sale of fund gold to put the financing of the IMF on a sound long-term footing, and enable us to step up much-needed concessional lending to the poorest countries,’ IMF managing director Dominique Strauss-Kahn said in the statement.’These sales will be conducted in a responsible and transparent manner that avoids disruption of the gold market,’ he said.The IMF did not state the value of the gold to be sold but based on the current bullish market price for the metal, it is estimated that the sale would fetch US$13 billion.Under the approved plan, the IMF would offer to sell gold directly to central banks ‘or other official sector holders if there were to be interest from such holders.’The IMF said such transactions would redistribute official gold holdings without changing total official holdings.
Under the fund’s Articles of Agreement, all gold sales must be conducted at market prices, including direct sales to official holders.Also the gold sales could be conducted on-market in a phased manner over time, and such on market gold sales will not add to the announced volume of official sales, it said. – Business Report

Stay informed with The Namibian – your source for credible journalism. Get in-depth reporting and opinions for only N$85 a month. Invest in journalism, invest in democracy –
Subscribe Now!

Latest News