Emerging World Buys Billions in Gold as West Wobbles

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"Emerging market central banks have bought 180 tons of gold in 2011, more than double the 73 tons purchased by central banks globally in the whole of 2010."

The Namibian, Amanda Cooper

Central banks of emerging market countries such as Korea and Thailand have added more than US$10 billion of gold to their reserves this year. International Monetary Fund (IMF) data for June showed Thailand bought gold for the second time this year, raising its reserves by nearly 19 tons to over 127 tons, while Russia bought another 5,85 tons, bringing its reserves to 836,7 tons, the world's eighth largest official stash of the metal.

So far in 2011, emerging market central banks have bought nearly 180 tons of gold, more than double the roughly 73 tons purchased by central banks globally in the whole of 2010. The spot price of gold has risen by more than 17% this year to a record US$1 672,65 an ounce, driven chiefly by investor concerns over the impact on the developed world's economy of its debt burdens and sluggish growth. . .View full article

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