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dunkellic · 4361 days ago · link · · parent · post: Germany to transfer its gold from NYC to Frankfurt
The reason for depositing the gold abroad was, that if - for one reason or another - the german currency tanked really really hard, it could instantly get liquidity by exchanging the gold for a foreign currency (british pounds, american dollars, french franc). Because France has the Euro as well, this tactic does not make sense anymore (as also explained in the article). This begs the question though, why the move from NYC to Frankfurt then? And why move the money out of France now and not much earlier?