Eichengreen: Gold stack-ups by central banks reflect dismal prospects of globalization
But gold vaulted at home can’t be lent, swapped, or posted as collateral, unlike gold vaulted in London and New York. It is clunky if used for payments. In 2019, Venezuela’s government, subject to US sanctions, chartered a Boeing 777 from a Russian company to ferry 7.4 tonnes of gold to Uganda, where it was refined and resold. Venezuela received $300 million worth of euros to pay for merchandise that would have been unavailable to the country otherwise.
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