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Vulcan
Gold May 20, 2019 10:30:28 AM

Venezuela Sold 14 Tons From Gold Reserves in May

Paul Ploumis
ScrapMonster Author
According to sources, the country sold nearly 9.7 tons of gold on May 10 and an additional 4 tons on May 14.

Venezuela Sold 14 Tons From Gold Reserves in May

SEATTLE (Scrap Monster): Venezuela has sold nearly 14 tons of gold, worth approximately $570 million, from its reserves during the month of May this year. The country’s reserves have plunged to 29-year low of $7.9 billion, in accordance with data provided by Venezuela’s monetary authority.

According to sources, the country sold nearly 9.7 tons of gold on May 10 and an additional 4 tons on May 14. It must be noted that the country has sold almost 23 tons of gold since the beginning of April this year. The gold reserves in Venezuela had remained unchanged at 161.20 tons in the first quarter of the current year. An analysis of gold holdings by the country suggests that reserves had lit a record low of 150 tons during the second quarter of 2018.

The gold sales come in the midst of sanctions imposed by the U.S. Treasury to freeze the assets of the current Venezuelan administration. Reportedly, much of the selling is to firms in the United Arab Emirates and Turkey. It must be noted that the Bank of England, which accounts for $1.2 billion worth of country’s gold holdings, had blocked repeated withdrawal attempts by the country. Incidentally, gold makes up the bulk of Venezuela’s total reserves.

In a desperate attempt to fund government programs and meet bondholder payments, President Nicolas Maduro had sold more than 40% of the country’s gold reserves in 2018. The government had sold a total of 73 tons of gold to two firms (Noor Capital and Goetz Gold) in the United Arab Emirates and another (Sardes Kiymetli Madenler SA) in Turkey.

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