Turkey Will Repatriate All Gold From The US In Attempt To Ditch The Dollar

After Venezuela, Germany, Austria and the Netherlands prudently repatriated a substantial portion (if not all) of their physical gold held at the NY Fed or other western central banks in recent years, this morning Turkey also announced that it has decided to repatriate all its gold stored in the US Federal Reserve and deliver it to the Istanbul Stock Exchange, according to reports in Turkey's Yeni Safak. It won't be the first time Turkey has asked the NY Fed to ship the country's gold back: in recent years, Turkey repatriated 220 tons of gold from abroad, of which 28.7 tons was brought back from the US last year.

According to the latest IMF data, Turkey’s gold reserves are estimated at 591 tons, worth just over $23 billion. This makes Ankara the 11th largest gold holder, behind the Netherlands and ahead of India.

Turkey's gold repatriation come at a sensitive time for Turkey's currency, the lira, which has been pounded, and plunged to all time lows against both the dollar and the euro despite runaway, double-digit inflation in Turkey, as the central bank is seemingly afraid of President Recep Tayyip Erdogan, and refuses to raise rates.

Meanwhile, Erdogan has taken a tough stance against the US currency, criticized dollar loans and saying that international loans should be given in gold instead.

"Why do we make all loans in dollars? Let’s use another currency. I suggest that the loans should be made based on gold,” Erdoğan said during a speech at the Global Entrepreneurship Congress in Istanbul on April 16, according to Hurriyet.

In what some saw an appeal for a gold standard by the Turkish president, Erdogan added that “with the dollar the world is always under exchange rate pressure. We should save states and nations from this exchange rate pressure. Gold has never been a tool of oppression throughout history."

Well, now that Turkey will soon have all of its gold on the ground, Erdogan will be able to launch a gold-backed currency if he so desires. Unfortunately, all signs point to the gold being repatriated only so it can be raided, pillaged and promptly deposited in offshore vaults by members of the ruling oligarchy.

As noted above, Turkey has been one of several countries which have moved their gold from the world's biggest, and most secure gold vault, that located 95 feet below sea level at 33 Liberty Street in Manhattan, also known as the New York Fed.

The repatriation wave began in 2012, when Venezuela announced it was withdrawing all of its 160 tons of gold at the NY Fed, valued at around $9 billion. Germany’s Bundesbank then demanded 300 tons be returned, with the Fed saying it would take seven years to do so; a scrambling Germany was able to complete the process 3 years ahead of schedule. The Netherlands has also repatriated 122.5 tons of gold.

As a result, according to the latest Fed data, the amount of physical gold stored at the NY Fed has dropped to the lowest on record, or 7.819 thousand tons, following a withdrawal scramble that started in 2014 and continued until the end of 2016. After a 15 month hiatus, withdrawals resumed in 2018, with 15.5 tons of gold repatriated in January and February.

“The central banks started the repatriation already a few years ago, meaning before we had Brexit, Catalonia, Trump, AFD or the rising tensions between the Politburo in Brussels and the nations of Eastern Europe,” said Claudio Grass of Precious Metal Advisory in Switzerland.

According to him, the world is becoming less centralized. “If we follow this trend, it should be obvious that the next step should be an even bigger break up into smaller units than the nation state. With such geopolitical fragmentation comes also the decentralization of power."


JimmyJones Fri, 04/20/2018 - 13:37 Permalink

Sorry you cannot have your gold back simply put we don't have it anymore. We will however to make things "right" give you the equivalent amount of US dollars in exchange.

RAT005 flyingpigg Sat, 04/21/2018 - 13:12 Permalink

Very good.  It's been relatively constant through the history of time that there has been 1oz of gold per person in the world.  Population has increased but so has gold above ground.  When people new to PM ask me how much they should have, I say there is enough gold in the world for each person to have 1oz so start with that plus the same value of silver in small pieces and after you get to that point decide if you want more.

In reply to by flyingpigg

Guderian DaiRR Sat, 04/21/2018 - 02:17 Permalink

That gold has long since been sold threefold, not mentioning its securitization for debt to the  FED.

That's 'security' US style for you!

Every nation should hold their own gold and it's every nation's business what becomes of its gold. The Turks have- and will vote for Erdogan. They have the govt they want and choose. 

And what's the difference of spending it on weapons, mosques or hookers, to keeping it 'safe' where you have no access?

In reply to by DaiRR

Boxed Merlot SethPoor Fri, 04/20/2018 - 18:12 Permalink

...the 24K question...

Because back in the day, it was the "Rule of Law" that actually gave the "holding" of gold "value". Believe it or not, there are still folks who do not value the element as much as they value other intrinsic attributes as assigned to deity, among which are "Power, Wealth, Wisdom, Strength, Honour, Glory and Blessing". Rev. 5:12


In reply to by SethPoor

bshirley1968 Boxed Merlot Sat, 04/21/2018 - 08:47 Permalink

Right. This can be scaled down to the original "goldsmith" illustration. People trusted the goldsmith to hold their gold in his secure, guarded vault. When they realized he was using their gold and giving them paper (gold certificates) that were worthless, there was a "run on the vault".

Obviously, we are seeing a "run on the vault" here in the US. We use to be trusted, but it has become obvious that we are living large off of other's wealth and giving them worthless paper instead.

Countries that know this; China, Russia, Iran, Venezuela, Turkey, Syria, Brazil, NK. Countries that knew this; Iraq and Libya.

Countries that know this but are "on the take" with us; Japan, South Korea, UK, Israel, SA, France, Australia, Canada, Mexico, and major power holders in the EU.

In reply to by Boxed Merlot

Twox2 Dsyno Fri, 04/20/2018 - 15:38 Permalink

"I'm curious how the US convinced all these countries to let them hold their gold."

1)  Kinda like people buying GLD...

2)  In their defense, things were a wee bit different in the aftermath of WWII.  The bigger question is why they left it here after 1971...

In reply to by Dsyno

Sudden Debt Twox2 Fri, 04/20/2018 - 15:59 Permalink

Backroom blackmail.


But the last one to recall will be in shit.


And it also shows how every country actually knows in what kind of shit America sits.

And Americans should realize what kind of shitstorm is heading their way. Most think everything will stay the same but besides the crisis that will come, the way the government will crack down on it's citizens will be horrific.

And Americans should also look for example to Europe where every government is going against America and is putting insane penalties on companies that don't respect the privacy of it's citizens.

A penalty that is 4% of the turnover of that company for every complaint. And it will start in the next 2 weeks!!!

This will destroy the American tech market which is build on stealing private information and psychological war games.


Add another crash to the American economy and there's nothing left anymore.

In reply to by Twox2

el buitre Sudden Debt Fri, 04/20/2018 - 21:36 Permalink

Germany only got 20% of their NY Fed gold back after all that bruhahah.  Most people, even those who should know better, think they got it all back.  20% for (originally) seven years (via canoe across the Pond no doubt).  Stealing the Ukraine's gold helped of course.  Gold stolen from current NAZI's to ex-NAZI's.  Some sort of karma there.The Fed wouldn't even let Bundesbank reps look at the remainder or even cum on it in the dark.

In reply to by Sudden Debt

Crazy Or Not el buitre Sat, 04/21/2018 - 07:49 Permalink

Turkey is reaching in its ambitions here, but the intention is interesting:
I also find GATA a usful resource (some interesting catagories in the side bar) ;))

Regarding your comment it's a little surprising it's been unnoticed by ZH'ers  as it was (partially) covered here:


The European bullion exit contagen has been running for some time.


In reply to by el buitre

StychoKiller Sudden Debt Sun, 04/22/2018 - 00:03 Permalink

More like Banksters getting hoisted by their own Petards! 

Ron Paul:  "Why does the Federal Reserve continue to hold Gold?"

Ben Bernanke:  "Umm, Tradition?"

They've forgotten, more like:  refuse to acknowledge, that Gold has intrinsic value, AND CAN BE USED AS MONEY!

One fine day, the Fed is gonna walk into the vault(s) and stare at all of the empty shelves, that their unrelenting printing has caused.  They cannot deny any foreign country its bullion, because after all, it's just a "Barbarous Relic!"

When the rest of the World's major powers go back to a Gold-backed currency, the USA is gonna implode!

In reply to by Sudden Debt

sunny Dsyno Fri, 04/20/2018 - 19:22 Permalink

There was a time back when the world was in a (different) mess.  Hitler was running wild and many countries figured that the US was as safe a place to hide there gold as could be found.  

Wouldn't it be hilarious if we sold it all and kept the cash to fund our military and big banksters.

In reply to by Dsyno

bluecollartrader sunny Sat, 04/21/2018 - 03:55 Permalink

Well, someone had to pay to keep the dirty Soviets/Russians from taking over. It's "funny" how people seem to forget history, no matter how recent. It's almost as if they're doing it on purpose in order to redwash, errrr, I mean, whitewash the truth right here on Zerohedge. 

I believe the ZH comment section is populated by "current" and former KGB operatives.

In reply to by sunny