Weekend Economists and the Accidental President December 13-15, 2013

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27. 10 Countries Sitting On Enormous Mounds Of Gold

http://www.businessinsider.com/countries-with-largest-gold-reserves-2013-12?op=1

Gold looks like it is on its way to its first annual drop in 13 years.
This is bad news for central banks that have been diversifying their foreign reserves to include gold, but at a slower pace than in 2012.

A new report from the World Gold Council showed that year-to-date central bank gold reserves increased by nearly 300 tonnes.

Global official gold holdings totaled 31,913.5 tonnes as of December 2013, according to the latest report from the World Gold Council.

We pulled the numbers on the 10 biggest official reserves.


10. India

REUTERS/Krishnendu Halder
Official gold holdings:
557.7 tonnes

Percent of foreign reserves in gold:
8.4%

The government has been trying to deter people from purchasing the precious metal and some like Jim Rogers attribute the price decline to lowered emerging market demand. Gold imports have been blamed for the nation's high current account deficit. India's central bank governor Raghuram Rajan has previously said the country can pay off its debt in gold.


9. Netherlands

Reuters/Brian Snyder
Official gold holdings:
612.5 tonnes

Percent of foreign reserves in gold:
54.0%

A large portion of the Netherlands' gold reserves are held in the U.S, and some are held in Canada and the UK. About 10% is expected to be held in Amsterdam. Earlier this year the Netherlands wanted to repatriate its gold.


8. Japan

Reuters/Issei Kato
Official gold holdings:
765.2 tonnes

Percent of foreign reserves in gold:
2.6%

Japan's gold reserves were at just 6 tonnes in 1950, and its central bank registered its first serious jump in gold holdings in 1959, with purchases increasing by 169 tonnes from the previous year.

In 2011, the Bank of Japan sold gold to pump ¥20 trillion into the economy to calm investors after the tsunami and nuclear disaster.



Read more: http://www.businessinsider.com/countries-with-largest-gold-reserves-2013-12?op=1#ixzz2nSbpgMzJ