The Riksbank reallocates its gold and foreign exchange reserves

Date 09/09/2005

The Riksbank intends to sell up to 10 tonnes of the gold reserve in the period from 27 September 2005 to 26 September 2006. The sale is in compliance with the Central Bank Gold Agreement (CBGA) that 15 European central banks have signed and which came into force on 27 September 2004. The Agreement runs for five years and enables the Riksbank to sell up to 60 tonnes of gold in the course of this period. Last year the Riksbank sold 15 tonnes of gold under the Agreement.

The proceeds from the sale will be reinvested in the foreign exchange reserves, that is, in securities denominated in foreign currency.

The proportion of gold is being reduced with a view to obtaining a better risk-adjusted return on the Riksbank’s assets. Gold will continue to be an important component of the Riksbank’s assets.

Completed sales of gold will be evident from the weekly reports that are published on a regular basis on the Riksbank’s website: www.riksbank.se.