IMF To Start Selling Gold Worth Up To $6.9 Billion To Market

IMF To Start Selling Gold Worth Up To $6.9 Billion To Market

By Tom Barkley, Of DOW JONES NEWSWIRES

WASHINGTON -(Dow Jones)- The International Monetary Fund said Wednesday it will soon begin selling to the market the remaining 191.3 metric tons of gold it has slated for release, though the sales will be conducted in phases to avoid disrupting markets.

The sale of gold, currently worth nearly $6.9 billion, will begin “shortly,” the fund said in a brief statement.

“In accordance with the priority of avoiding disruption of the gold market, the on-market sales will be conducted in a phased manner over time,” the IMF said.

The IMF noted that central banks in Europe have said they can accommodate the fund’s gold as part of their scheduled sales in the Central Bank Gold Agreement.

The IMF board approved sales of 403.3 metric tons of gold in September to create a more stable income model and boost support for low-income countries.

About 212 metric tons have already been sold off-market to central banks of India, Mauritius and Sri Lanka.

The IMF didn’t rule out further off-market sales, which would reduce the amount sold to the market.

-By Tom Barkley, Dow Jones Newswires; 202-862-9275; tom.barkley@dowjones.com

(END) Dow Jones Newswires

02-17-101646ET

Copyright (c) 2010 Dow Jones & Company, Inc.

via IMF To Start Selling Gold Worth Up To $6.9 Billion To Market.

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Filed under Economics, Government Spending, IMF

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