Bangladesh Is Latest Asian Country To Buy Major Gold Stock As Currency Hedge

chart

Bangladesh Bank has announced a 10 ton purchase of gold from the IMF to hedge against currency volatility.

The acquisition is also a mark of prosperity for Bangladesh, says Beyond Brics:

For Bangladesh- – once derided as an economic basket-case, the acquisition also reflects the way it has managed to prosper during the economic crisis, thanks to its resilient garment exports and strong foreign exchanges remittances from citizens working overseas.

Bangladesh still has plenty of challenges ahead, mainly in raising state revenues for investment in infrastructure, which has emerged as a major bottleneck to its growth. Still, after nearly doubling in a year, Bangladesh’s foreign currency reserves in November 2009 hit $10bn, or nearly 5 month of imports, a fifteen-year high.

Now read a fantastic presentation on how to analyse gold prices –>

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.

Tagged In

asia gold moneygame-us