IMF approves $13bn gold sale – China, Russia India Likely Buyers

21 September 2009  The Guardian UK

The International Monetary Fund has approved a sale of 403 metric tonnes of gold reserves, in a move likely to raise $13bn (£8bn) of cash to replenish its coffers for lending to low-income countries hit by the global economic downturn.

The sale amounts to roughly an eighth of the institution's stockpile of the precious metal and comes as gold prices hit record highs, boosted by investors seeking safety away from volatile stockmarkets.

Dominque Strauss-Kahn, the IMF's managing director, said sales would be conducted in a "responsible and transparent manner that avoids disruption to the gold market". Speaking after a meeting of the IMF's executive committee, he said the initiative would "put the financing of the IMF on a sound long-term footing and enable us to step up much needed concessional lending to the poorest countries".

http://www.guardian.co.uk/world/2009/sep/19/imf-sells-gold-bullion