Who Knew? German Central Bank Has Been Selling Gold For More Than A Decade

Tyler Durden's picture

Authored by Louis Cammarosano via Smaulgld.com,

Deutsche Bundesbank gold reserves shrink 45 tons over the past ten years.

  • German Central Bank holdings fall From 3,420.6 tons at the end of Q2 2007 to 3375.6 tons, a drop of 1,446,783 ounces.
  • German gold reserves have decreased 1.3% over ten years.

Bring the Gold Home & Sell Some

Deutsche Bundesbank, the central bank of Germany, has gained a high profile for its insistence on repatriating a good portion of its gold from vaults at the New York Fed, the Bank of England of London and the Bank of France in Paris. We have been covering the German gold repatriation story since they made their request in 2013 here, here, here and here.

The German repatriation requests aimed to rebalance the Deutsche Bundesbank’s gold holdings from nearly 70% held abroad to 50% held within Germany’s borders. The German Central Bank announced earlier this year that it has nearly completed its plan to repatriate its gold.

Jens Weidman, President of the Deutsche Bundesbank once famously said:

“Indeed, the fact that central banks can create money out of thin air, so to speak, is something that many observers are likely to find surprising and strange, perhaps mystical and dreamlike, too – or even nightmarish.”

In this video from the Deutsche Bundesbank, German nationals, Deutsche Bundesbank representatives and Herr Weidman explain the importance of gold to Germany.

Given the Deutsche Bundesbank’s statements and the accelerated German gold repatriation schedule, we are surprised to see that the Deutsche Bundesbank has been a steady seller of its gold over the past ten years.

German Gold Reserves 2007 – 2017

The Duetsche Bundesbank gold reserves fell 45 tons from June 30 2007 to May 31, 2017.

The Central Bank of Germany holds the second largest gold reserves of any central bank.

Currently, with the People’s Bank of China halting its gold purchases since October 2016, only the Central Banks of Russia, Kazakhstan and recently Turkey are steady buyers of gold.

Update July 9, 2017 – In the companion video to this blog post, I noted that I would contact the Deutsche Bundesbank to determine why they have been steadily selling gold. I received a twitter notice from @BullionBaron with an excerpt from the 2016 DB annual report indicating that DB sold 3,045 kg or 0.1 million oz of gold to the Federal Government at market prices for the purpose of minting gold coins. I reviewed DB annual reports for the period covered by this blog post (2007-2016) and there is a note in each one indicating the sale of gold each year between 100,000 -200,000 ounces for the purpose of minting gold coins.

DB noted in its 2012 annual report: “As part of its management of gold reserves, the Bundesbank has, since 2002, been selling small amounts each year to the Federal Office for Central Services and Unsettled Property Issues to mint gold coins. In 2012, it sold around 4.9 tonnes of gold in total for the minting of the €100 gold coin “UNESCO World Heritage–  Aachen Cathedral” and the €20 gold coin “German forest – spruce”. The sales took place under the extended gold agreement between the central banks of the Eurosystem, Switzerland and Sweden in August 2009.” A similar note appeared in the 2011 DB annual report, indicating a sale of around 4.7 tonnes for the purpose of minting the €100 gold coin “UNESCO World Heritage–  Aachen Cathedral” and the €20 gold coin “German forest – spruce”.


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Fester's picture

Tiny amount


realmoney2015's picture

I wonder how much gold has been sold off here. We need to audit and then end the fed. 

We are giving away an End the Fed book written by Ron Paul. 


This book helped me understand how the federal reserve was founded in secrecy and been stealing from us since 1913. It's a great book to learn no matter how much or how little you know about this evil institution. 

sinbad2's picture

When the US was running the London gold pool back in the 1960's they sold gold for 6 years to prop up the dollar price. Today the US claims they only sold 120 tons, so why did they stop if it was only such a small part of US reserves. Also why was Nixon forced to abandon gold for dollar exchange if the US still held 8,000 tons of gold?

The British called a halt to the pool, and it's rumoured they did that, because the US supplied them with debased copper coloured gold, that the US had from when Roosevelt melted down all American gold coins. There was supposedly 2,000 tons of the debased gold.

So I believe the US has a maximum of 2,000 tons. Now the gold that the US is returning to Germany, first goes to Switzerland, where it is purified, so I think the US has been giving Germany the copper gold alloy bars. The reason they won't allow anybody to see the US gold reserves, is they are copper coloured.

Quantum Bunk's picture

Yes and the London gold pool blew up in less than 8 years yet the LBMA and GLD have been going for decades.

they cant lose anymore.

rpc's picture

This small amount of gold isn't sold to the (far) "east", it is used to strike collectors' coins sold mostly to private Germans. So this is no news.


Mr 9x19's picture

china and russia below 2000 ton... yea sure....



auricle's picture

In bazzaro world, one sells true assets at firesale prices to create the perception of a stronger fiat currency. 

realmoney2015's picture

Interesting Sinbad. Never heard that before. I remember driving by Fort Knox afew years ago on a little road trip. To pass a little we researched how much gold was there. Mind-blowing on what they called audits and how long it's been since they've performed one. 

Mr 9x19's picture

usually when you unpeg  a fiat from such a barbarian relic like gold, you are absolutly sure than a single 1% request leads to a total crash.

to me usa have less gold than china or russia.

otherwise why the gold paper price is so laminated for years...

PhiPhi's picture

Correct, they're actually called coin bars.

Food Loaf Junkie's picture

London Good Delivery bars are supposed to be .999 pure, the bars made from melted U.S. gold coins are .900 gold and .100 copper.  This was for durability when the coins were used in everyday commerce.  Typical of the gov. not to bother to refine them to international standards for gold bars.

Mr. Universe's picture

So who owns the gold in Ft. Knox, the Fed, the Citizens of the USA or the vapors?

Jimmy Jimmereeno's picture

The proper question is not, "Who owns the gold in Ft. Knox?", but what is the total amount of refined .9999 gold in Ft. Knox?

OpenThePodBayDoorHAL's picture

Hint: it's not the US Treasury.

Even the IMF said in 2014 that treasuries and CBs should not carry "gold bullion" and "gold swaps and repos" as the same thing on their books. Crickets.

BetaGap's picture

So Germany has around 100 Billion in gold.

And they can sell it for one year of full refugee care

JLM's picture

Thats a pretty stretched y-axis to make something look bigger than it really is.  Sort of like Al Gore's temperature increase where 0.3% increase looks like earth turning into Venus. lol

jm's picture

When you pimp your book... you gotta pimp your book.

LetThemEatRand's picture

"Thats a pretty stretched y-axis"

1.3% of their holdings over ten years, so just over one tenth of one percent of their holdings each year on average.  Meanwhile, gold has risen in value from around $700 to around $1200 during the same period.  I'm too lazy to do the math, but their holdings in dollar terms have increased by around 70% while they sold a little.  But if you look at the chart, it looks like they're ready to close the vault.  Someone had an agenda with this story.

sessinpo's picture

Not stretched. The baseline of the x acis is 3370 tonnes, not zero

DavidC's picture

Nonetheless it's still a standard graphic 'trick' to make variations in something 'look' greater (or, indeed, smaller, if required) to the eye than they actually are.


Xredsx's picture

They shipped it over the Channel like a thief in the night. 

meditate_vigorously's picture

I bought some yesterday morning. If I didn't hit the bottom I will buy more when it goes lower. I will not play the Wall Street Casino, and there is no safety or return from keeping it in the bank. The only debt I have is mortgage, and I am not sure I should prioritize that over savings, because it amounts to the same thing with a fixed mortgage. The gold can go up. The property value not so much. I will consider myself lucky if we get out of it above water in a few years when I am ready to leave the Land of Fruits and Nuts.

Xredsx's picture

Move to Iceland. I hear it's nice. 

tmosley's picture

It was, until they started importing sandniggers and giving them unlimited gibs.

Never let a woman or a Scandi rule your country. Life lesson.

Xredsx's picture

Oh no!  Is there anywhere left, anywhere in the world? 

tmosley's picture


You have to fight.

CRM114's picture

You have to be prepared to fight now, but I suggest it is better to wait till the masses stick their heads over the parapet first.

I'm not advocating cowardice, simply pointing out that nothing is going to work in terms of change in the West until the masses decide to move.

Mr. Universe's picture

Why do you think the Deep State works so hard at creating mindless drones for citizens? If that wasn't enough they encourage lawbreaking illegal aliens and provide them with our tax dollars that they send back out of country. No one's moving anywhere until the grocery stores are empty.

CRM114's picture

I realise that's why they do it.

However, they are not very good at it.

To really exploit someone, you have to make the effort to understand them, and they can't be bothered.

So, they pull all the strings on the puppets from as far away as possible as they don't wish to associate with Hoi Polloi, but the strings of the different groups will inevitably get tangled.

I would agree that bread shortages have historically been the trigger for a lot of revolutions, but Government over-reaction to legitimate protest is quite common too. Both are coming.

VWAndy's picture

 Who and how are the harder questions we might want good answers to first.

tmosley's picture

Liberals and their allies and with state power.

Remember--we WON.

VWAndy's picture

 PS my kids band sucked. Never found a groov.

runnymede's picture

Who: Giant Squid Bankers. How: Collective default on debt; followed by piano wire accountability.

CRM114's picture

I have my own lamp-post. It's....waiting.

CRM114's picture

No, and Yes.

There is nowhere left without basically corrupt and ineffective Government at all levels.

However, there are a few places where Government influence is, in practice,  minimal and the population can thrive on their own resources.

You need a rural area, in a big country, with a reasonable soil and climate.


CRM114's picture

Bad soil and climate.

Oh, and 2,000 years of mindless violence, inbreeding, and religious oppression.

Apart from that, it's lovely.

That's why everybody who can is leaving, of course.

armageddon addahere's picture

The hillbillies always knuckle under last, if at all.

meditate_vigorously's picture

My wife might like that. And they are free of Ju banker rule. I cannot stand the cold.

I was thinking somewhere back in the Heartland, but it depends where I can get a job. I have yet to see a research paper in my field from Iceland.

katagorikal's picture

Iceland is in the Gulf Stream, so its climate is quite mild for somewhere near the Arctic Circle. For example, its winters are slightly warmer (higher average lows) than, say, Boston, even though it is 22° latitude further north:



What gets to you is the darkness.

Vlad the Inhaler's picture

A mortgage is good, if we get hyperinflation then you will be paying the bank back in what amounts to pennies.

WillyGroper's picture

mort-death, gage-slow will not devalue as your savings.

if anything you'll be paying back at the new valuation on the reset.

TheRideNeverEnds's picture

Good call, follow Kazakhstan and buy buy buy.

After all, if there is one thing Kazakhstan is known for its prudent financial decisions...

Jimmy Jimmereeno's picture

Congratulations.  You can "buy more when it goes lower" load your boat below $1050.

Sonny Brakes's picture

It was probably sold to the 1%.

VWAndy's picture

 Think about this folks.

Goldennutz's picture

Well, someone had to buy it. 

VWAndy's picture

 Are you sure about that?

tmosley's picture

>Click in expecting to see that they had divested themselves of 95% of their gold and that they had been behind the price suppression all along

>Only sold 1.4%

Gold bugs better be ready for another 1000 years of ass raping.

meditate_vigorously's picture

Anyone who buys gold as an "investment" is a moron. Just like you.