Russia adds 22.8 tonnes of gold to reserves

Russia added 22.8 tonnes of gold to its reserves in February, according to the Latest figures of the Russian Central Bank. With this purchase, the total stock will increase from Russia to 1,880 tonnes, which is at the current level. Gold price worth more than €80 billion. In January, the country added 18.66 tonnes of gold to its reserve, overtaking China in the ranking of countries with the largest public gold reserves.

In addition to expanding the gold supply, the central bank of Russia has also taken more foreign currency into its reserves in recent months. Since the beginning of this year, the country's foreign exchange reserve has grown by about $17 billion to $373 billion, the highest level since December 2014. That was the period when the oil price fell so hard and the main oil-producing countries saw part of their revenues evaporate. At that time, Russia also had to draw on part of its foreign exchange reserves, because the country is very dependent on proceeds from the sale of oil and gas.

Russia expands foreign exchange reserves

The rise in the price of oil and an increasing demand for natural gas are increasing Russia's revenues again, allowing her central bank to build up more reserves and have more financial room to buy gold. When the oil price fell in 2008 and the financial crisis broke out, the central bank had to draw on a significant part of its reserves. That happened again in 2014, when the country was hit by Western sanctions and by a halving of the oil price.

During this period, the central bank remained unabated Buy gold, with the result that almost 18% of the total reserves are now held in the form of precious metals. By comparison, at the time Lehman Brothers collapsed, that share was only 2.5%. So we are seeing a shift of foreign exchange reserves towards precious metals. By buying gold, Russia makes itself less dependent on the financial system and has a reserve in its hands that is free from political risk. Russia keeps her entire gold reserve in her own vault, which has recently been Complete photo series were brought out into the open.

Russia adds 22.8 tonnes of gold to reserves

Gold stock Russia

Annual Gold Purchases Russia