Bonn, Feb. 2 (Bloomberg) -- Germany is open to a U.S.
proposal that the International Monetary Fund, one of the world's
biggest gold holders, sell some of its gold reserves to finance
debt relief for developing nations, Deutsche Presse Agentur
reported, citing an unnamed German Finance Ministry spokesman.
The spokesman said the IMF has ''more than enough'' reserves but
Germany would not formally back the proposal without support from
the Bundesbank, DPA reported. ''The new government, in contrast
to the old one, is very interested in finding ways to forgive the
debt of the poorest countries,'' he said, adding that former
Chancellor Helmut Kohl, whose government opposed selling gold
reserves, had maneuvered Germany into isolation on the issue, DPA
said.
Gold fell 22 percent in 1997 on concern that central banks
and government institutions worldwide want to unload their
holdings of the metal, which collectively amount to about a
quarter of all gold ever produced.
(DPA 2/2)
--Iain Rogers in the Bonn bureau (49 228) 22 80 90/tel
Bill,
they keep the pressure on with the news releases on Bloombergs
Regards Stephen |
