Commodity Online NEW YORK: The proposal to sell the IMF gold will not constitute any net addition to the amount of gold that the market is expecting from official sector sources, said the Chief Executive of the World Gold Council.
Welcoming the US approval for the sale of the IMF gold, Aram Shishmanian in a statement, expressed the anticipation of zero market impact thanks to the gold sale plan.
Last week, the US House of Representatives approved an agreement to allow US members of the IMF board to agree the proposed $13 billion sale of 400 tonnes of IMF gold to shore up its finances.
Trade commodities or equities from across the globe. Join Now“We are pleased to see that the IMF's plan to sell gold in a structured and non-disruptive manner has gone through due political process without problem, which is a credit to the responsible behaviour of all parties involved in the process”, Shishmanian said.
Given the IMF's status as a lender of last resort, the WGC believes it is imperative that the organisation continues to hold large gold reserves and acknowledges the IMF's public declarations that: The IMF should continue to hold a relatively large amount of gold among its assets, not only for prudential reasons, but also to meet unforeseen contingencies.
