Gold sales could start next spring -Swiss cenbank
ZURICH, Dec 10 (Reuters) - The Swiss National Bank reiterated on Friday that it would begin gradual sales of excess gold from Swiss reserves once the legal framework was in place, possibly as soon as next spring.
The central bank said it hoped that a law eliminating the Swiss franc's link to gold would be passed by parliament before the year is out, paving the way for the sales.
"If the law is passed by parliament before Christmas -- and we hope this deadline will be met -- the severance of the Swiss franc from gold could enter into force next spring, when the three-month referendum deadline expires," SNB Vice-President Jean-Pierre Roth told the bank's year-end news conference.
"From that time onwards, the National Bank will value gold at the market price and become active in the market, free from the shackles of legal regulations," he said.
Switzerland's upper house of parliament on Wednesday passed a bill authorising the sale of 1,300 tonnes of excess gold, but minor differences from the lower house version of the legislation held up final approval.
If the differences are ironed out as expected in the next few days, the law can win final approval before the session ends on December 22.
Once approved by parliament, the law has to be published officially and faces a three-month period for any opponents to try to force a popular referendum against it.
Barring this unlikely event, sales could probably start in May or June, one parliamentary official said on Wednesday.
"We cannot, as yet, name the exact time when gold sales are to begin, nor the specific form they will take," Roth said.
The Swiss National Bank has 2,590 tonnes of gold on its books, of which analysts believe 1,300 tonnes can safely be sold off without jeopardising the conduct of monetary policy.
The SNB and 14 other European central bank pledged in September to limit sales to 2,000 tonnes over five years at around 400 tonnes annually.
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