Next to what Lagarde and the IMF have stated, more “official” channels are hinting at changes to come regarding China in the international monetary system.Roland Wang, China managing director at World Gold Council, told Reuters on March 26: China currently holds about 1.6 percent of its foreign exchange reserves in gold, which is relatively low compared with developed countries and some developing countries, WGC China managing director Roland Wang said.1,054 tonnes at the price of gold on December 1, 2014 (37,600 US dollar for 1 Kg), was a little over 1 % of total reserves.
(Read for more information on the relation between SGEI trading volume and SGE withdrawals) As most readers who are interested in gold will know, China’s official gold reserves are small in proportion to the size of their economy and their foreign exchange reserves.
This disproportionate position has been difficult for China to escape from.
Step one should take us to the 4,000 tonnes mark, more than Germany and become number two in the world, next, we should increase step by step towards 8,500 tonnes, more than the US.
According to Song step one is to reach the 4,000 tonnes mark to surpass Germany and become the second largest holder in the world, which would be in line with being the second largest economy (in terms of GDP). Since the Bretton Woods system collapsed in 1971, the United States has been freed from having to restrict its money supply to the size of the gold reserve its central bank holds. dollar-denominated assets has made investors expect the demand for gold to rise because the Chinese central bank will need a greater reserve to support its currency.
An unserer Schule lernen zurzeit 165 Mädchen und Jungen.
Die Schülerinnen und Schüler können an unserer Schule einen Haupt- und einen qualifizierten Hauptschulabschluss, einen Real- und erweiterten Realschulabschluss ablegen.If China ever increased the level to 5 percent, it would have an enormous impact on global demand for gold.Li mentions the exact same numbers as Wang from the World Gold Council: 1.6 % and 5 % of total reserves. I think that if China will update us on their gold reserves, the total will be less than 5,000 tonnes.All arrows point in the same direction, IMF chief Lagarde stated: China’s yuan [renminbi] at some point would be incorporated in the International Monetary Fund’s Special Drawing Right (SDR) currency basket, IMF Managing Director Christine Lagarde said, …”It’s not a question of if, it’s a question of when,” The SDR basket is reconsidered every five years, in 2010 there was no adjustment made, as the renminbi was not considered eligible at the time.But the renminbi has made significant developments since then; this year will be appropriate for adoption.Withdrawals from the vaults, which equal Chinese wholesale demand, accounted for 53 tonnes, up 3.91 % from the prior week.