Berlin
is bringing home its gold reserves stored in New York, London and
Paris faster than scheduled, Germany’s central bank said Thursday.
The move is linked to surging euroskepticism, as new governments in
France and Italy may ditch the single currency.
The
German Bundesbank has already moved 583 tons of gold out of New York
and Paris, planning to have a half of its gold back in Germany by the
end of 2017, which is ahead of the 2020 plan. The rest will be split
between the Federal Reserve Bank of New York and the Bank of England.
"We
have a lot of discussions about Trump, regarding implications on
monetary policy, macroeconomics, etc., but we trust the central bank
of the US," Bundesbank board member Carl-Ludwig Thiele told
a news conference.
"Trump
has not triggered a discussion about the storage facility in New
York," he said.
As
French presidential candidate Marine Le Pen and Italy's 5-Star
Movement are openly calling to pull out of the euro, some economists
in Germany say the repatriated gold may be needed to back a new
deutschmark should the eurozone collapse.
During
the Cold War, 98 percent of Germany's bullion was stored abroad, and
so far the biggest repatriation was in 2000 when the Bundesbank
repatriated 931 tons from the Bank of England.
When
the relocation is complete, Germany will still have 1,236 tons in New
York, 432 tons in London and the rest in Frankfurt. The current
repatriation involves moving 300 tons from New York and 374 tons from
Paris. The Bundesbank said it is not worried about keeping gold in
England despite Brexit, as London remains a key gold trading market
and a safe place.
Germany
has the second-largest gold reserves in the world after the US with
3,381 tons.
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