Hungary’s gold reserves have increased from 3.1 tons to 31.5 tons in October 2018, it has been revealed.
The National Bank of Hungary’s (NBH – Magyar Nemzeti Bank) Monetary Council decided to increase Hungary’s gold reserves significantly taking into account the country’s long-term national and economic policy strategy objectives.
According to MTI, NBH recently purchased gold for the first time since 1986. Following the significant increase in physical form, the stock of gold reserves has already been transported to Hungary.
The bank said holding precious metal within the country is consistent with international trends, enhances financial stability and may strengthen market confidence in the Hungarian economy. Preserving its historical role, gold continues to be one of the safest assets in the world, which enhances stability and confidence even under normal market circumstances, it added.
Reports suggest that the 31.5 tons of gold reserves, worth USD 1.24 billion at the current market rate, is a record for the amount of gold held by Hungary.
The ratio of gold reserves to Hungary’s total international reserves has risen to 4.4 percent, which corresponds to the average of non-euro area Central and Eastern European countries.