French Gold Sales in 2005

[Thanks to finemint.com for the photo of a French gold coin.]

"(MENAFN) The chief of the Central Bank of France said that the bank has sold 161 tonnes of gold in 2005, for a value of $2.30 billion, Reuters reported. Bank of France Governor Christian Noyer declined to comment on the pace at which the central bank would sell gold in 2006, saying only it would depend on market conditions and take place in conformity with an accord by central banks.

"The Central Banks' Gold Agreement, which came into force in September 2004, bound banks to cap their total sales at 2,500 tonnes in the 2004-2009 period, compared with 2,000 tonnes in the previous five years.

"The official said that the central bank would use revenues generated from its gold sales to invest in foreign exchange."

I wonder what "foreign exchange" they find more interesting than gold.

Read the rest of the story from the Middle East North Africa Financial Network News, 4/11/06.