There is news that Germany is going to repatriate its gold reserves (about 627 tonnes) stored in France and the United States of America. Not so long ago here were some pundits who suggested that it was not technically possible for Germany to successfully demand the return the return of its reserves in these countries.
There were several reasons among them,that the US Federal Reserve doesn't actually have the said reserves meaning that its vaults at Fort Knox are just empty. I don't have much to say on this one but the move by the Germans is actually a bold move because at first it would actually seem that them storing some of their gold at these countries was going to be for eternity mainly for strategic reasons.
The precedence of the Great Recession and the recent surge in the gold price means that Germany can actually be able to be more flexible with their economic policies in the face of much uncertainty in the global financial and capital markets.
The percentage of gold reserves store in foreign countries by the the Germany government was quite large in my opinion. The repatriation, if successful will reflect the change in the global power positions, not necessarily with Russia after the cold War, but with US. Them mentioning to achieve this by 2020 is revelation that this issue is no mean task but will have to take delicate discussion and negotiations to fully iron out this issue.
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