NEW YORK (Commodity Online): The net purchases of gold by central banks in the last year amounted to 430 tons - more than a fivefold increase on the previous year and the highest level since 1964, said Thomson Reuters GFMS Ltd said in its latest report. The net purchases of these institutions in 2010 amounted to only 77 tons.
GFMS expects high gold purchases in 2012 by central banks. In the first half of 2012 GFMS expects purchase of 190 tons which is slightly less than the 205 tons that were purchased in the first half of last year.
GFMS reported significantly increased enthusiasm for gold buying by central banks from emerging markets. In the official sector, Mexico was the largest gold buyer in 2011 at 100 tons. Other major buyers include Turkey, Russia, South Korea and Thailand. China is also acquiring a large extent gold (approximately 350 tons per year), but this occurs mainly through the purchase of domestic mine production and not on the world markets.
The central banks of this nation, such as Switzerland, Australia, Canada, Great Britain, France and Spain, who were responsible for the bulk of official gold sales in the 1990s, when prices were below $ 400 per ounce.
