Russia's Gokhran sees no big gold exports for flood victims
By Oleg Kirsanov
Moscow, May 25 (BridgeNews) - Russia does not plan to increase gold exports
from its central reserves to finance rebuilding of towns and aid victims of
large-scale flooding in East Siberian region of Yakutia, an official with
Russia's State Depository for Precious Stones and Metals (Gokhran) said Friday.
However, a small portion of Yakutia's own gold reserves could be sold should
the President Vladimir Putin permit such exports, the official said.
* * *
"We are not planning any special exports and we have not received any
orders (to prepare documents for boosting gold exports)," Sergei Prokhorov, an
aide to Gokhran's Chairman Valery Rudakov, told BridgeNews.
"Like any other gold producing region, Yakutia has its own gold reserves
because a share of the produced gold goes to the regional fund. As I
understand, there are intentions to sell some amounts from this fund,"
Prokhorov said.
Putin said Thursday visiting Yakutia that he was ready to sign decrees on
additional exports or gold and diamonds, but only if there was a "clear
mechanism" of how the money would be distributed.
Putin's economic advisor Andrei Illarionov said Thursday he saw no danger
for the federal budget due to the extra spending on the flood victims.
All these facts indicate that Russia is most unlikely to be in a hurry to
sell the extra gold and the effect on the world market to be any significant.
The spot and forward gold price fell in U.S. markets Thursday on the news
that Russia might sell gold reserves to aid the flood victims. However, U.S.
traders said that the news was just an excuse for profit-taking and stop-loss
selling on technical corrections. (Story .2333)
Russia's uncut diamond giant Alrosa (Diamonds of Russia-Sakha) has proposed
also to sell some unique diamonds (above 50 carats each) from its reserve worth
U.S. $30 million.
In 2000, Russian banks exported about 70 tonnes of gold, while the state
gold exports are unknown, but believed to be considerably below this figure.
Russia's gold output last year rose 13.2% on the year to 142.5 tonnes and
is expected to exceed 147 tonnes this year. End |
