Dutch Central Bank Shifts $12.5 Billion Gold Reserves from North America to London

The Dutch central bank has moved approximately $12.5 billion worth of gold from New York and Ottawa to London, but this shift in custody does not necessarily indicate an increase in demand for gold.

The operation, completed between March and August, saw the Netherlands' gold reserves allocated to a more tradable location, with 32.1% now held in London compared to 18.1% previously.

This change allows the central bank to have a more usable emergency asset during times of crisis, as gold held at the Bank of England can be traded more readily than bars parked in Ottawa or New York.

DNB governor Olaf Sleijpen stated that this relocation 'improved the tradability of our gold reserves', but emphasized that it does not mean that DNB expects to sell now.