The Dutch central bank is moving more than €10 billion worth of gold out of the United States and Canada as geopolitical tensions rise, shifting a larger share of its reserves toward London, where the metal can be converted into liquid assets more quickly during a crisis, NL Times reports.
The operation involves around 86 tonnes of gold and is part of the De Nederlandsche Bank's efforts to strengthen its preparedness for potential crises. “Due to increasing geopolitical instability, DNB is working to improve its crisis preparedness. Improving the market liquidity of Dutch gold and thus the speed with which it can be used in crisis situations is part of this,” the central bank said.
The Netherlands held 612.4 tonnes of gold worth €72.2 billion at the end of last year. Following the latest restructuring, about 32% of the reserve will be held in London, 31% in the DNB vault in Zeist, and roughly 18.5% each in New York and Ottawa.
The changes involve both physical transfers and transactions rather than simply moving all the bullion across the Atlantic.
Between March and August, more than 27 tonnes of gold were physically transported from North America to DNB's facility in Zeist. At the same time, another 59 tonnes held in New York were sold, with 59 tonnes purchased in London.
