Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Pastimes : The Naked Truth - Big Kahuna a Myth -- Ignore unavailable to you. Want to Upgrade?

To: pater tenebrarum who wrote (62340)	9/16/1999 12:30:00 PM
From: Giordano Bruno	Respond to of 86076

IMF official says close to off-market deal on gold WASHINGTON, Sept 16 (Reuters) - The International Monetary Fund is close to a deal on off-market transactions to use its gold reserves to pay for debt relief, taking advantage of the gap between the price the IMF values the metal and its market price, a senior IMF official said on Thursday. ``I believe we are there,' said the official, who spoke to reporters on condition he was not identified but who also made clear that no final decision had been taken. ``There is a growing momentum to support our off-market transactions with the countries which have important repayments to us -- a system which will bring us the liquidity corresponding to the difference between the book price and its market value,' he added. The IMF, backed by its major shareholders, had initially wanted to sell up to 10 million ounces of its 103 million ounce gold stockpile to pay for a program of debt relief for poor countries. But it abandoned the plan after stiff opposition from the U.S. Congress, which has to approve gold sales. The official declined to say exactly how much gold would be involved in the revaluation exercise, under which countries repaying loans to the IMF will buy gold at market price, sell it back to the fund and use that money to pay their debts. But he made clear that the IMF was also looking for bilateral contributions from its member states. ``We are still far from having confirmed pledges from bilateral donors to allow us to finalize a decision on how much gold should be put on the table,' he said. Deputy finance ministers from the 24 countries making up the IMF's policy-making Interim Committee will discuss gold sales when them meet in Washington on Friday, and the IMF official said the fund was determined to finalize its decision soon.