what do gold bugs think , page-2

Swedish central bank to sell 15 tonnes of gold

Published in Nordic Business Report on Wednesday, 27 August 2008 at 08:48 GMT
Copyright (C) 2008, M2 Communications Ltd.

The Swedish central bank, Riksbank, announced on Tuesday (26 August) that it intends to sell up to 15 tonnes of its gold reserve of a total of 142 tonnes.

The proceeds will be reinvested in foreign-currency securities.

"The proportion of gold is being reduced with a view to obtaining a better risk-adjusted return on the Riksbank's assets, that is, the long term return on the assets is expected to be as high or higher and at the same time more stable. Gold will continue to be an important component of the Riksbank's assets," the Swedish central bank said.

Riksbank intends to sell the gold during the period 27 September 2008 to 26 September 2009.

The bank has already sold 45 tonnes of gold since September 2004, when the Central Bank Gold Agreement (CBGA) signed by 15 European central banks came into force. The agreement enables Riksbank to sell a total of 60 tonnes of its gold reserve.