India Getting Rid of US Treasury Securities, Buying Gold

1
1361
TEHRAN (FNA)- The world’s second biggest gold consumer continues to replenish its bullion reserves, a Reserve Bank of India (RBI) report showed, at the same time, New Delhi is slowly but surely reducing its share of US debt bonds.

The annual report from the Indian financial regulator reveals that the country followed other BRICS partners in adding physical gold to its foreign exchange reserves. The RBI reportedly bought 8.46 metric tons of gold during the last fiscal year ending in March, RT reported.

As of the end of June, the country’s central bank held 566.23 metric tons of gold against 557.77 metric tons a year ago. The RBI purchased gold for the first time in nearly a decade. The regulator acquired 200 metric tons of the precious metal in 2009 shortly after the global financial crisis.

According to the RBI, India’s international reserves rose by five percent from June 2017 to June 2018 in comparison to the 6.3 percent growth seen in the same period in the previous year.

 “Diversification of India’s Foreign Currency Assets continued during the year with attention being ascribed to risk management, including cybersecurity risk. The gold portfolio has also been activated,” the report added.



Meanwhile, the country’s share of US sovereign debt saw a gradual decline from $157 billion in March to $148.9 billion by May, according to the latest US Treasury report.

Eliminating US sovereign bonds has recently become a trend among major holders. According to the latest statistics, Russia dumped 84 percent of its holdings during 2018, while Turkey’s share of US Treasuries fell by 42 percent during the first half of the current year.

At the same time, Japan and China, the biggest holders of the US papers also reduced their shares, albeit insignificantly.

ATTENTION READERS

We See The World From All Sides and Want YOU To Be Fully Informed
In fact, intentional disinformation is a disgraceful scourge in media today. So to assuage any possible errant incorrect information posted herein, we strongly encourage you to seek corroboration from other non-VT sources before forming an educated opinion.

About VT - Policies & Disclosures - Comment Policy
Due to the nature of uncensored content posted by VT's fully independent international writers, VT cannot guarantee absolute validity. All content is owned by the author exclusively. Expressed opinions are NOT necessarily the views of VT, other authors, affiliates, advertisers, sponsors, partners, or technicians. Some content may be satirical in nature. All images are the full responsibility of the article author and NOT VT.

1 COMMENT

  1. This is what all countries should do: Stop financing the insane U.S. Federal debt. When the U.S. economy collapses, everyone will suffer. Don’t aid these fools who think they can borrow unlimited amounts of money when history proves that to be impossible. The U.S. financial system could collapse at any instant without warning. Almost no family in the U.S. is prepared for this disaster either.

Comments are closed.