Dec. 5 (UPI) -- The new president of the Central Bank of Bolivia, David Espinoza, said six tons of the country's international gold reserves are used as collateral for debt in six foreign banks.
Espinoza said most of Bolivia's gold is held in banks in Germany, the United Kingdom and the United States rather than in domestic vaults.
Espinoza presented a detailed report Thursday on the state of the reserves in both foreign currency and gold. He warned that the fiscal policy applied during the administration of former President Luis Arce made heavy use of gold to finance liquidity.
He said the Central Bank bought gold on the domestic market and exported 56.3 tons in recent years to obtain foreign currency and meet immediate liquidity needs.
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