ECB renews Central Bank Gold Agreement

The European Central Bank and other central banks have announced the fourth Central Bank Gold Agreement (CBGA), which underscores the importance of precious metals as part of a global monetary reserve system.

The European Central Bank (ECB) has agreed on a new Central Bank Gold Agreement (CBGA). This agreement, which is fourth in a row, marks an ongoing commitment by some of the largest gold stockholders to maintain clarity and transparency in the gold market for all participants. It also confirms  the importance of gold as an asset in the world's monetary reserves.

The ECB's statement confirms the crucial commitment of stakeholders to continue coordinating gold transactions to avoid market disruption.

"This is very positive news for the global gold market. It underlines the commitment to gold that European central banks have with regard to their monetary reserves. Equally important is the message it sends to gold-producing countries, who do not have to fear that their economic development will be undermined by uncoordinated gold sales," said Natalie Dempster, managing director of Central Banks and Public Policy.

This signed agreement is valid for a period of five years and will be effective September 27, when the current agreement expires.

Source: World Gold Council