Bank of Korea to Buy Gold After a Long Hiatus
The Bank of Korea has announced plans to purchase approximately 1 ton of domestically produced gold for the first time since 2013.
The Bank of Korea is preparing to make its first physical gold purchase from domestic production in a long time, aiming to strengthen its safe-haven assets against potential crises.
Gold Purchase Plan and Timeline
The Bank of Korea plans to purchase approximately 1 ton of domestically produced gold for the first time since 2013. The bank anticipates executing the first transaction around December 14 after establishing the necessary system for trading domestically produced gold.
Current Reserve Status
As of the end of August, the Bank of Korea holds 104.4 tons of physical gold valued at $14.88 billion at market prices. This amount corresponds to 3.4 percent of the bank's total foreign exchange reserves.
Future Strategy
The central bank plans to gradually increase the share of gold in its foreign exchange reserves over the medium and long term. The bank anticipates that this step will strengthen its safe-haven assets against potential crises.