Kenya may hold its gold reserves in the Bank of England, the English equivalent of Kenya’s Central Bank (CBK), according to recent reports.
In an interview with Bloomberg, CBK Governor Kamau Thugge said that Kenya had previously held negotiations with the BoE about future bullion storage.
The negotiations come as Kenya prepares to buy gold, which has more than doubled in price over the last two years, in order to diversify its reserves, which also include US dollars.
“We’ve talked to the Bank of England and other banks to see how we go about it, where it will be stored, those kinds of things,” Thugge said to me.
“I’m hoping that we can do it as soon as is practical because we’re ready to move,” the man said to me. The CBK chairman stated that Kenya’s intention to add gold was not to diversify away from dollars, but rather to diversify the country’s foreign assets.
According to Thugge, the country will obtain the gold from its foreign reserves, which number $11 billion (Ksh1.4 trillion), though he failed to specify how much will be converted to gold.
Byb Nairobi